--- title: "How Much Home Can I Afford? Calculate Your Real Budget | Ownify" description: "Your home budget depends on income, debts, down payment and credit, not a rule of thumb. See how lenders actually calculate what you can afford, and what changes the number most." lang: en json-ld: | [ { "@context": "https://schema.org", "@type": "Organization", "@id": "https://ownify.com/#organization", "name": "Ownify", "alternateName": "Ownify Homeownership", "url": "https://ownify.com/", "logo": "https://ownify.com/favicon.png", "description": "Ownify is a fractional homeownership platform that helps first-time homebuyers buy a real home with as little as 2% down by partnering with long-term capital investors. 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With your consent, we may also use non-essential cookies to improve user experience and analyze website traffic. By clicking “Accept,” you agree to our website's cookie use as described in our Cookie Policy . You can change your cookie settings at any time by clicking “Preferences .” PreferencesDeclineAccept [![Ownify](/assets/ownify-logo-color-B9tRH5I9.png)](/) [Homebuyers](/homebuyers) [Investors](/investors) [Agents](/agents) [Markets](/markets) [Research](/research/ownify-university) [Blog](/blog) [About](/about) [Sign in](https://app.ownify.com/auth/magic/request)[Get started](https://app.ownify.com/applications/new) Affordability Guide # How much can I afford? How we pre-qualify you Knowing your budget to purchase a home and how much you can afford to spend is a critical step in any home buying journey. [Get your personalized affordability number](/myplan) Knowing your budget to purchase a home and how much you can afford to spend is a critical step in any home buying journey. With Ownify, it takes just a few minutes to become pre-qualified and find out what your maximum home purchase budget could be. Your Ownify budget is specific to you and based on the information you provide to us during your pre-qualification application. ## How do we calculate your budget? ### Checking your credit The first step is to run a soft credit check on you and your co-applicant if you have one. A soft credit check does not affect your credit rating in any way, or show up as an inquiry on your credit file. For the Ownify program, we ask for a minimum 600 credit score\* and no bankruptcy or foreclosure within the past 4 years. ### Verifying your income Next, we verify your income. This is a quick and secure process where we ask you to upload proof of income, such as bank statement, W2 or pay stubs. Traditional and non-traditional employment wages are eligible for consideration. This includes, but is not limited to, hourly, salary, and commissions. 1099 income is also acceptable. ### Establishing your budget Your budget is calculated based on an affordability calculation. This takes into account your income, your current existing debts (such as car loans, credit card, and student loan payments) and the future payment obligation to Ownify. We use a payment-to-income ratio target to establish your home budget. We will calculate your budget at the household level if you are applying as joint applicants. ### Verifying your ID We also perform secure checks to confirm you are a real person applying using the information you supply and may ask to see some ID. ### That's it! You're now pre-qualified to become an Owni Once pre-qualified, you will instantly see your home budget. This shows you the total amount we can buy a house for together based on the information you provide, and what the associated monthly payment amount would be if you bought a house at that maximum budget amount. Once you understand your total budget, you can use our simple tools to understand how this monthly payment could change if you bought a house for different amounts within your budget. Owning your first home could be closer than you think! Why not [get pre-qualified today](/myplan). \*Our credit requirements are subject to change at any time. We use Transunion as our credit bureau. Your score through other third party services may be different. If you're ready to get pre-qualified then [apply now here](/myplan). If you would like a quick check on your eligibility for Ownify, [use our tool here](/homebuyers/eligibility). ## What "affordable" actually means Lenders look at your **monthly payment** relative to your income, not just the sticker price. The payment — often called **PITI** — includes Principal, Interest, property Taxes, and Insurance (plus HOA and mortgage insurance where they apply). A common starting guideline is the **28/36 rule**: aim to keep housing costs around **28%** of gross monthly income and total debt payments under about **36%**. It's a rule of thumb, not a hard limit — many loan programs approve higher debt-to-income ratios with strong compensating factors. ## The five things that set your number 1. **Income** — gross monthly income, plus stable additional income. 2. **Debts (DTI)** — car loans, student loans, credit cards. Lowering these raises your buying power fast. 3. **Credit score** — a better score can mean a better rate, which means more home for the same payment. 4. **Down payment** — affects loan size and whether you pay mortgage insurance. 5. **Loan type & assistance** — the program you use sets your minimum down and your rate, and assistance can cover much of the cash. ## The down-payment myth You almost certainly **don't need 20% down.** Real options include: - **Conventional** — as little as **3% down** for many qualified and first-time buyers. - **FHA** — **3.5% down** with a 580+ credit score. - **VA / USDA** — **0% down** for eligible buyers (military/veterans; certain rural areas). - **Ownify (fractional / shared equity)** — buy with as little as **2% down**, with no traditional mortgage, in select markets (CO, NC, TN, CA). See [fractional & shared equity ownership](/fractional-ownership). Stack **down-payment assistance** on top of a low-down loan and your out-of-pocket cash can shrink to a fraction of what you assumed. [See down-payment-assistance programs →](/research/down-payment-assistance) ## How assistance changes the math Two buyers with identical incomes can afford very different homes depending on the cash they bring and the programs they use. A grant or forgivable second can cover much of the down payment; a Mortgage Credit Certificate can improve your monthly affordability through a tax credit. The point: **your affordability isn't fixed — it's a function of the path you take.** ## "What salary do I need for a $400,000 house?" There's no single answer, because it depends on your down payment, debts, rate, taxes, and insurance. A buyer with low debts, a solid credit score, and down-payment assistance can reach a price that looks out of range to someone using the 20%-down assumption. That's exactly why a personalized analysis beats a generic calculator. ## Don't guess — get your real number A generic calculator uses national averages. [Owen](/owen) uses your situation: it pulls live loan quotes, checks every assistance program you may qualify for, models low-down and alternative paths, and returns a personalized affordability range — as a written plan you can act on. Get your personalized affordability number Results come back as a personalized Homeownership Plan, reviewed by a licensed concierge. Equal Housing Opportunity. Educational only; not a commitment to lend. [Build my Plan](/myplan) ## Frequently asked questions What percentage of income should go to a mortgage? Around 28% of gross income is a common target, but programs vary — your real limit depends on your full financial picture. How much down payment do I really need? As little as 0–3.5% with common loan programs, 2% with Ownify's fractional path, and assistance can cover much of that. Does a higher credit score really change affordability? Yes — a better rate lowers your monthly payment, which raises the price you can afford at the same budget. Will paying off debt help me afford more? Often significantly — lowering monthly debt directly improves your debt-to-income ratio and buying power. ## Related reading - [Buying-power calculator](/myplan) - [Eligibility](/homebuyers/eligibility) - [Down-payment assistance](/research/down-payment-assistance) - [Get in with 2% down](/homebuyers/how-it-works) Equal Housing Opportunity. This guide is educational and not a commitment to lend. ### Homebuyers - [How it works](/homebuyers/how-it-works) - [Are you eligible?](/homebuyers/eligibility) - [Build my plan](/myplan) - [Ownify vs. mortgage](/homebuyers/vs-mortgage) - [Ownify vs. rent-to-own](/how-rent-to-own-works) - [Detailed calculators](/homebuyers/detailed_calculators) - [Ownify Mortgage](/mortgage) ### Investors - [Why invest](/investors) - [Investor FAQ](/investors/faq) - [North Carolina Home Fund](/investors/north-carolina) - [Colorado Home Fund](/investors/colorado-home-fund) - [Become a partner](/investment-partner) ### Agents - [How it works](/agents/how-it-works) - [Agent benefits](/agents/benefits) - [Get accredited](/agents/accreditation) ### Markets - [Colorado](/markets/colorado) - [North Carolina](/markets/north-carolina) - [Tennessee](/markets/tennessee) - [California](/markets/california) - [All markets](/markets) ### Company - [About us](/about) - [Our impact](/research/our-impact) - [Ownify University](/research/ownify-university) - [Reviews](/reviews) - [Blog](/blog) - [Ownify Tools & Tech](/tech) [![Ownify](/assets/ownify-logo-reversed-CShwpfYm.png)](/) [Terms](/legal/terms)[Privacy](/legal/privacy)[Contact](/contact)[Consent Preferences](#)[Do Not Sell or Share My Personal Information](https://app.termly.io/notify/50967156-fd3e-48cb-95dc-98f33b36600a)[Limit the Use Of My Sensitive Personal Information](https://app.termly.io/notify/50967156-fd3e-48cb-95dc-98f33b36600a) © 2026 Ownify, Inc. All rights reserved. Equal Housing Opportunity. Fractional ownership investments are provided by Ownify, Inc., 548 Market Street #25841, San Francisco, CA 94104. Real Estate Brokerage services may be provided by Ownify Real Estate LLC, NCREC C36616. Mortgage broker and loan processing services are offered through Real-Finity Mortgage, LLC, dba Realfinity. NMLS #2445766 and #2723220. Real-Finity Mortgage, LLC is a licensed mortgage brokerage and maintains its corporate headquarters at 929 Alton Road Suite 500, Miami Beach, FL, 33139.