How much house can I afford on $50,000 a year?
$161,625 home price with 10% down
$203,989 interest over 30 years
Principal $145,462 Interest $203,989. 58¢ of every dollar paid goes to interest.
Home price whose payment ($1,166.67 a month including estimated property tax and PMI) is 28% of $50,000 gross income, with 10% down and a 30-year loan at 7.03%, the Freddie Mac average for the week of September 24, 2026.
That is a $145,462 mortgage and a $16,162 down payment.
Source: Freddie Mac Primary Mortgage Market Survey, week of September 24, 2026. An average, not an offer.
By down payment
| Down payment | Home price | Cash down | Loan | Principal and interest | PMI |
|---|---|---|---|---|---|
| 3% | $150,942 | $4,528 | $146,414 | $977.05 | $91.51 |
| 5% | $153,847 | $7,692 | $146,155 | $975.32 | $91.35 |
| 10% | $161,625 | $16,162 | $145,462 | $970.70 | $90.91 |
| 20% | $194,816 | $38,963 | $155,853 | $1,040.04 | — |
28% and 36% of income
| Gross monthly income | $4,166.67 |
|---|---|
| 28% for housing | $1,166.67 |
| 36% for all debts, minus $0 other debts | $1,500.00 |
| Housing budget used (the lower) | $1,166.67 |
Stretching to the 36% line with no other debts would allow about $207,803. Property tax is 0.78% a year (Estimate: the median of the 32 state rates we have sourced); insurance is not included because no sourced average exists for this selection.
If rates move
| 30-year rate | Home price | Loan | Change |
|---|---|---|---|
| 6.03% | $176,079 | $158,471 | +$14,454 |
| 6.53% | $168,621 | $151,759 | +$6,996 |
| 7.03% this week's average | $161,625 | $145,462 | $0 |
| 7.53% | $155,061 | $139,555 | −$6,564 |
| 8.03% | $148,900 | $134,010 | −$12,724 |
Questions
How much house can I afford on $50,000 a year?
About $161,625 with 10% down at this week's 7.03% average, if the full payment stays at 28% of gross income ($1,166.67 a month). With 20% down, about $194,816.
What mortgage can I get with a $50,000 salary?
A $145,462 loan at 10% down under the 28% guideline. Lenders also check total debts: at 36% of income, all debt payments together should stay under $1,500.00 a month.
How much house can I afford on $50,000 with no down payment savings?
With 3% down, about $150,942. The smaller down payment adds PMI (estimated at 0.75% of the loan a year) until the balance reaches 78% of the price.
How does the rate change what I can afford?
Each point matters: at 6.03% the same budget buys about $176,079, and at 8.03% about $148,900.
Would a 15-year mortgage change the answer?
Yes. At the 6.42% 15-year average, the same payment supports about $129,444 because more of each payment goes to principal.
Sources
- 30-year fixed mortgage average: 7.03%. Freddie Mac Primary Mortgage Market Survey (PMMS), series MORTGAGE30US, as of September 24, 2026; retrieved September 26, 2026.
- 15-year fixed mortgage average: 6.42%. Freddie Mac Primary Mortgage Market Survey (PMMS), series MORTGAGE15US, as of September 24, 2026; retrieved September 26, 2026.
- Property tax (median effective rate by state). Tax Foundation, effective property tax rate on owner-occupied housing (Census ACS), Property Taxes by State, 2026 edition (2024 data). States not yet sourced use 0.78%, the median of the 32 state rates we have sourced, marked as an estimate.
- Homeowners insurance (average premium). NAIC homeowners report, 2022 data, HO-3 policies. Only states with a sourced figure include insurance.
- PMI assumption: 0.75% of the loan a year below 20% down. Typical range 0.5–1.5% (Urban Institute, Freddie Mac); ends at 78% of the original value under the Homeowners Protection Act (CFPB).
- 28/36 debt-to-income guideline. Lender guideline (Chase, Bankrate); CFPB debt-to-income guidance.
Numbers on this page last changed September 26, 2026. How they are calculated: methodology.