Wondering How Much Mortgage You Can Afford? Here’s How to Calculate It

Many people are aware of the financial commitment that is involved when investing in a home, but what that amounts to is different for every person. From what you can afford to what a lender will allow, there are plenty of details involved in determining the right home for you. If you’re not quite sure what the right price is, here’s how to approach home ownership and determine your debt-to-income.

Utilize the Calculators on My Website

Visit my website at www.JPCookAZRealEstate.com.  Click on ‘Buyers’ then utilize the Affordability Calculator, which will tell you how much house you can afford with your current income and expenses.  You can also utilize the Mortgage Calculator to determine how much your monthly house payment will be.

Do it Yourself:  Calculating Your Debt-To-Income Ratio

You may not know what your DTI ratio is, but it has a lot to with how much home you can afford. In order to calculate this amount, add together all the debts you owe each month and divide them by your monthly pre-tax income. For example, if your credit card is $150 and your rent is $900, your debt amount would be $1050. Divide this amount by your income, say $2500, to get 0.42. This means your DTI ratio is 0.42 or 42%.

What Your DTI Means

While a DTI in the high 20s or low 30s is good, anything that hovers above 43 percent may serve as a red flag to the lender. The lower your DTI ratio is, the more likely it is that a lender will approve your mortgage application since you’ll have the disposable income to deal with financial hurdles. If your dream home has you hovering close to this amount, it may be a sign that it’s a bit out of reach.

How Do You Want To Live?

It’s quite common to be taken over when you find your dream home and decide to commit. However, buying a home is a huge financial commitment, and if you’re buying more than you can afford it may drain your well-being over time. Instead of diving in, determine other expenses that are likely to come up in the next few years, whether it’s travel, a child or a new car. It’s important to have the home you want and budget when buying it, but you’ll still need to financial wiggle room in case something comes up.

There are a lot of factors involved in determining how much house you can afford, but by calculating your DTI ratio and being aware of your spending plans, you’ll be well on your way to an ideal price range.  Give me a call for more information – J.P. Cook – 602-320-4253.

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Sort by: Select Price, Low to High Price, High to Low Newer Listings First Older Listings First Open House Date

11815 W Lost Man Canyon Way Prescott, AZ 86305

$1,299,000

4 Beds

3 Baths

2,680 SqFt

Status Active

MLS # 6674739

Property Type Single Family Residence

Price Type --

Enjoy breathtaking, uninterrupted vistas of Williamson Valley from this exquisite ''Ranch Style'' residence. Boasting 4 bedrooms, 3 baths, and a spacious 2 car garage, this home is a testament to rustic elegance. Step inside to discover large hewn timber beams, natural stone accents, and a stunning tongue-and-groove vaulted ceiling in the Great Room, complemented by a wall of windows framing panoramic views. Throughout the home, you'll find rich wood floors, Alder doors, and a charming stone fireplace with a mantle. The generously sized kitchen features granite countertops and a convenient wet bar in the dining area. Outside, multiple covered patio areas beckon relaxation amid mature trees and lush vegetation. Experience the epitome of tranquil living.

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1113 S Cypress Circle Payson, AZ 85541

$1,299,000

3 Beds

4 Baths

4,055 SqFt

Status Active

MLS # 6706097

Property Type Single Family Residence

Price Type --

Spectacular Quality! Steel structure & solid Alder doors throughout. Purple Mountains Majesty! Views! Sip your coffee admiring the Mogollon Rim. Conveniently located on a hilltop minutes away from downtown Payson, shopping & restaurants. Step through the door into vaulted, beamed ceilings with a wide staircase & custom railing. Family Room, Dining Room & Patio flow together creating a relaxed entertaining space. Main Suite dominates the 2nd story with a private loft, spa bathroom (including jacuzzi tub, snail shower, private laundry & bidet), fireplace, extended custom closet & huge deck. Top of the line, stainless steel appliances in this chef's kitchen where the sink window overlooks the vista, walk-in pantry and laundry room are steps away. Solid wood, Alder cabinetry throughout All walls are metal 2x4 & property framing is steel beams. Property has fire suppression system. Tile roof. Quality! The lowest level boasts 2 guest rooms with ensuite baths. LL living room includes a bar with a beer tap, wine cellar, refrigerator, ice maker, dishwasher, sink, surround sound & fireplace. Don't forget the gun closet & the bonus room! Step onto the wrap around patio and you are among the trees & views. Can you smell that fresh, pine air? Property sides to National Forest. Toys? Bring them! There is plenty of room in the 5 car garage. Storage cabinets & work bench flank the walls making an efficient space. 220 outlets in the garage. RV Parking on the side slab with electrical plug-in. Large storage room accessed from lower level patio. Come see it all!

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20622 W Colter Street Buckeye, AZ 85396

$1,299,000

3 Beds

3.5 Baths

3,282 SqFt

Status Active

MLS # 6752369

Property Type Single Family Residence

Price Type --

Breathtaking GOLF COURSE MOUNTAIN & CITY VIEWS from this David Weekley Serendipity home! With 3 bdrms, 2 dens, 3.5 baths, you & your guests will have plenty of room to spread out, as each bedroom has its own bathroom. The large owner's suite features stunning views, luxurious shower and soaking tub, as well as access to the laundry room. The gourmet kitchen includes extra cabinets, and huge center island. The ''Walk-Through Pantry is spectacular! There is also a ''Command Center'' (tech area). The beautiful backyard has artificial turf & extended covered patio Wait... there's more.. the 2.5-car garage has a mini-split & overhead storage. There's an over $100K amount of options, upgrades, and updates in this home!!! Also leased solar reduces utility bills. Includes 1-year Home Warranty The addition of the hobby room, which is 12x24 adds another 124 square feet to the floorplan.

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12158 N 138th Street Scottsdale, AZ 85259

$1,299,000

3 Beds

3 Baths

2,979 SqFt

Status Active

MLS # 6731048

Property Type Single Family Residence

Price Type --

This beautifully remodeled home within the guard gated community of Scottsdale Mountain, features 3 bedrooms, 3 bathrooms, a loft, an office and a host of modern upgrades, including engineered white oak hardwood throughout. The downstairs boasts high ceilings and beautifully remodeled kitchen, featuring new white oak and white cabinets, appliances and quartz countertops. Step into the family room with a dual sided fireplace with the living room on the opposite side. The backyard features a view fence over a beautiful wash, a newly resurfaced pebble tech pool and stunning mountain views at the base of the McDowell Mountains. The home boasts a large first floor master retreat and completely remodeled bathroom. Upstairs is a great place for the kids with an additional two bedrooms and a loft for games and entertainment. Lastly, the home received a new roof in 2022 and new Trane HVAC system in 2024. Don't miss this stunning remodel in the safe and secure guard gated community of Scottsdale Mountain adjacent to award winning schools!

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8743 E San Victor Drive Scottsdale, AZ 85258

$1,299,000

2 Beds

2.5 Baths

2,819 SqFt

Status Active

MLS # 6763640

Property Type Single Family Residence

Price Type --

This beautifully remodeled home in McCormick Ranch backs onto a serene greenbelt and features an open, bright floor plan with soaring ceilings. The spacious layout includes formal living and dining areas, plus a family room with a fireplace, built-in bookshelves, luxury wet bar & dual master suites. Gourmet kitchen boasts brand new white quartz countertops, Wolf appliances, a Sub-Zero fridge, double ovens, two sinks, & breakfast bar. Both master suites have walk-in closets and backyard access. The backyard is a green oasis offering a built-in BBQ, pool & spa! The master bathroom is a freshly remodeled dream. Roof & AC replaced in recent years. Milgard windows, & garage w/ cabinets & epoxy floors. Bonus, 2 rentable community casitas! Move-in ready!

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4850 E Poinsettia Drive Scottsdale, AZ 85254

$1,299,000

4 Beds

3 Baths

2,902 SqFt

Status Active

MLS # 6738636

Property Type Single Family Residence

Price Type --

Welcome to your dream home! This fully remodeled & expanded property is designed with modern comfort & luxury in mind. W/updates to the kitchen, Master suite, HVAC system, roof, windows, & the addition of spray foam insulation, it offers energy efficiency & a nearly new home. It also features an ADDED 2C garage, heated and cooled for your cars & toys. Recognized as the ''Best Home on the 85254 Tour,'' this stunning residence includes dual master suites, 3 spacious bathrooms, & an open-concept floor plan. The chef's kitchen is a true showpiece, perfectly situated to overlook a well landscaped backyard, complete with fruit trees, a gazebo, & maintenance-free synthetic grass. Pool Available too! Car enthusiasts will love the 4+garage, in the best neighborhood and A+scottsdale School distric Property upgrades: New 3-ton AC 2024 Roof 2020/2024 for addition New windows New Master Suite 19x19 New Master Bath 15x19 w/ soak tub, shower, toilet and bidet 2-Master Suites Foam insulation throughout 4+ Car garage cooled/heated Work room All new Electrical Wiring New Low voltage lighting Epoxy Garage floor New Pavered Driveway for 8 cars

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21616 N 37th Street Phoenix, AZ 85050

$1,299,000

6 Beds

4.5 Baths

4,302 SqFt

Status Active

MLS # 6748243

Property Type Single Family Residence

Price Type --

BIG REDUCTION TO SELL! $15,000 SELLER CREDIT FOR CARPETING & UPGRADES AVAILABLE! Own this 6 bed, 4.5 bath Amazon model in Fireside near the school! With a 4-car garage, heated pool, 4,302ft² & located on a premium view lot with no neighbors behind, this won't last long! The main floor includes your open concept great room, upgraded kitchen, formal dining room, den/bonus room, primary bedroom suite (which is epic!), powder bath, laundry, & a casita/mother-in-law suite with a private entrance & bathroom! Upstairs you'll find the additional 4 bedrooms (all with walk-in closets), a loft, tech space, & two more bathrooms! The back yard is filled with beautiful travertine, a heated (& cooled!) pool with smart equipment + controls, a pergola-covered outdoor kitchen + firepit , & view fencing without neighbors behind you! The front yard's desert landscape is maintained with an auto drip system, as is the courtyard! The home also features a TON of upgrades including but not limited to a new dishwasher (2024), AC (2022), solar system, RO water system, soft water system, new back turf (2022), misters on the patio, outdoor security system, new pendant lighting, in-ceiling surround sound speaker system, landscape lighting, and more! New Carpet installed (9/30) in the primary suite, too!

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8431 E Via De Encanto -- Scottsdale, AZ 85258

Open House

$1,299,000

3 Beds

2 Baths

2,159 SqFt

Status Active

MLS # 6778485

Property Type Single Family Residence

Price Type --

This property is immaculate! Located in the desirable McCormick Ranch area, this 2,159 sq. ft. home offers spacious rooms and a thoughtful layout ideal for modern and open-concept living. The remodeled kitchen features quartz counters, white & navy shaker cabinets, an island & breakfast bar, Monogram propane gas stove, large great room with double sliding door, vaulted ceilings and a striking stone fireplace, wet bar & wine fridge. Outside, a large backyard awaits with a sparkling pebble sheen pool, covered patio, a newly installed travertine pool deck, Anderson windows/doors, and a paver courtyard in front, all on a huge 11,592 SF private lot. Beautifully landscaped yard. Conveniently located, minutes from shopping, parks, freeway access, and various dining options.

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8507 S 9th Drive Unit 16 Phoenix, AZ 85041

$1,298,000

4 Beds

3.5 Baths

3,063 SqFt

Status Active

MLS # 6704445

Property Type Single Family Residence

Price Type --

Introducing Heard Farm at South Mountain, a brand new community of 24 modern farmhouses with sophisticated architecture designed for healthy, sustainable living! Nestled in South Mountain with quick access to downtown Phoenix, Heard Farm seamlessly blends indoor and outdoor living with fresh floor plans designed for the way you want to live.

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6008 E Lone Cactus Drive Phoenix, AZ 85054

$1,298,000

5 Beds

4 Baths

3,487 SqFt

Status Active

MLS # 6751191

Property Type Single Family Residence

Price Type --

Fall in love with this exquisite home in the desirable Talinn Community! This incredible residence showcases captivating stone accents, a convenient 4-car tandem garage, and a welcoming front porch that invites you to explore further. Step inside to be greeted by a grand hallway that leads to an open-concept living area. This space is beautifully enhanced with soothing paint tones, tall ceilings, wood-plank tile flooring, elegant recessed lighting t/out, and multi-sliders to the back patio. The stunning kitchen is fully equipped with a gas cooktop, a wall oven, quartz counters, a stylish tile backsplash, and two islands, one with a breakfast bar. A walk-in pantry and white shaker cabinetry with crown molding for ample storage space. Versatile den for a home office or a creative studio! Discover a sizable loft upstairs, perfect as a cozy family room or an additional entertainment area. Escape to the romantic main suite, where natural light pours in, creating a serene atmosphere. The ensuite is a luxurious retreat featuring dual vanities, a soaking tub, a glass-enclosed shower, and a spacious walk-in closet. The secondary bedrooms are thoughtfully designed with a Jack & Jill bathroom, providing privacy and practicality. The large backyard is your oasis, complete with a covered patio, pavers, low-maintenance artificial turf, and a children's playgroundexcellent for hosting fun-filled gatherings. This home is a must-seedon't let this opportunity slip away!

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7127 E Rancho Vista Drive Unit 2001 Scottsdale, AZ 85251

$1,298,000

3 Beds

2 Baths

1,781 SqFt

Status Active

MLS # 6745250

Property Type Apartment

Price Type --

Exceptional turnkey FULLY FURNISHED 3 bedroom/2 bath second floor corner unit offers spacious, open floorplan. Kitchen and living room overlook wrap around terrace with bbq and outdoor seating. Dual sliding glass doors ideal for luxurious resort style living and entertaining both inside and out. Master suite offers spa-like bathroom complete with bidet and walk-in closet. Two secondary bedrooms and two assigned parking spaces with electric charging stations in secure garage. Prime location walking distance to restaurants and Scottsdale Fashion Square. Endless community amenities including indoor and outdoor pools and spas, putting green, racquetball and basketball courts, fitness center and so much more. You will feel like you are on a never ending vacation! Welcome Home!!

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2477 E Page Avenue Gilbert, AZ 85234

$1,298,000

4 Beds

3.5 Baths

3,941 SqFt

Status Active Under Contract

MLS # 6772185

Property Type Single Family Residence

Price Type --

Step into luxury with this stunning 4-bed, 3.5-bath estate, where elegance meets modern living. Greet guests in the grand entryway, setting the tone for the spacious, open-concept design. The gourmet kitchen, adorned with high-end finishes, invites culinary exploration, while the adjacent living area features a statement fireplace. Retreat to the primary suite, a sanctuary with a lavish spa bathroom and freestanding tub. Outdoors, indulge in resort-style living with a sparkling pool and built-in BBQ. This home is a masterpiece of comfort and sophistication.

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