A mortgage pre-approval is an initial evaluation by a lender that indicates how much you might be able to borrow for a home purchase. It's an important first step in the home-buying process that gives you a realistic budget and shows sellers you're a serious buyer.
This calculator uses common lending criteria to estimate how much you might get pre-approved for. While actual pre-approval amounts may vary by lender, this tool helps you understand the key factors that influence your borrowing potential.
We analyze your annual income to determine your basic borrowing capacity. Lenders typically allow 28-36% of your monthly income for housing payments.
Your existing debts affect how much you can borrow. Lenders prefer a total debt-to-income ratio below 43%.
Your credit score influences both loan approval and interest rates. Higher scores typically qualify for larger loans and better rates.
A larger down payment often helps you qualify for a bigger loan and better terms.
Enter Your Income Details
Input your annual gross income (before taxes) and any additional regular income sources.
Add Your Monthly Debts
Include all monthly debt payments like car loans, student loans, credit cards, and other obligations.
Specify Your Down Payment
Enter how much you plan to put down. A larger down payment typically helps you qualify for a bigger loan.
Select Your Credit Score Range
Choose your credit score range. This significantly impacts your borrowing potential.