How Much House Can I Afford On A Typical Kentucky Mortgage Loan Preapproval?

Kentucky Mortgage Affordability Calculator

Estimates affordability based on income, debts, and housing costs. For an exact number, a verified preapproval is required.

Call/Text 502-905-3708

Loan program preset FHA (typical 43% max DTI) Conventional (typical 45% max DTI) USDA (typical 41% max DTI) VA (uses DTI estimate; residual income also applies)

Include monthly mortgage insurance estimate (if applicable) Use housing ratio cap (front-end), not just total DTI

Income and debt

Use gross monthly income and total monthly debts (car, student loans, credit cards, etc.).

Gross annual household income

Total monthly debt payments (non-housing)

Target max total DTI (percent)

Preset updates automatically when you change program. You can override.

Optional housing ratio cap (front-end) percent

Only used if “Use housing ratio cap” is checked.

Assumptions for home and loan

Adjust these to match the county, property type, and insurance quote.

Down payment (percent)

Interest rate (percent)

Loan term (years) 30-year fixed 15-year fixed

Estimated annual property taxes (percent of price)

Kentucky varies by county/city. Use your best estimate or local tax info.

Estimated annual homeowners insurance

Monthly HOA (if any)

Monthly mortgage insurance estimate (MI/PMI)

FHA/Conventional commonly require MI. USDA has annual fee structure. VA typically has no monthly MI.

Results

Enter your numbers and click Calculate.

Disclaimer: This tool provides estimates only and is not a loan approval. Final qualification depends on full underwriting, credit, program rules, and property specifics. VA approvals also consider residual income and other factors.

Want the real number with a verified preapproval? Call/Text 502-905-3708.

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA | NMLS 57916 | Company NMLS 1738461 | Equal Housing Lender | nmlsconsumeraccess.org

Explore Kentucky Mortgage Programs That Affect Affordability

Your buying power in Kentucky varies by loan program. Learn how each option impacts how much house you can afford:

• Kentucky FHA Loans – low down payment options with flexible credit guidelines
• Kentucky USDA Rural Housing Loans – 100% financing for eligible rural and suburban areas
• Kentucky VA Home Loans – zero down financing for eligible veterans and active duty buyers
• Kentucky Housing Corporation (KHC) Programs – down payment assistance paired with FHA, USDA, VA, or Conventional loans

Want Your Exact Kentucky Home Price — Not an Estimate?

Online calculators are a starting point. A verified preapproval shows what you actually qualify for based on your income, credit, and loan program.

Call or Text 502-905-3708 Get Preapproved Online

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA | NMLS 57916 | Company NMLS 1738461 | Equal Housing Lender | nmlsconsumeraccess.org

Mortgage Programs available to Louisville Kentucky Home buyers. USDA, FH...

How to determine how much house can you afford

Fill out my form!

Kentucky Mortgage Approval. How much can I afford?

Kentucky Mortgage Approval. How much can I afford?


.How much mortgage money can I qualify to borrow?



This is typically the number one question mortgage professionals are asked by new clients.



Of critical importance when considering mortgage financing: There is sometimes a difference between what a client ***can*** borrow and what they ***should*** borrow.



In other words, what makes for a comfortable long-term mortgage payment?



The Quick Answer:



If we’re simply considering the financial math, lenders will calculate your Debt-to-Income Ratio and generally allow for 28-31% of your gross income to be used for the new house payment with up to 43% of your gross income to be used for all consumer related debts combined.







Sample Mortgage Scenario:



Let’s use a gross monthly income of $3000 and a qualifying factor of 30% Debt-to-Income Ratio:



$3000 multiplied by .3 (30%) = $900 max monthly mortgage payment





This means that your mortgage payment (Principal, Interest, Taxes, Hazard Insurance) cannot exceed $900 a month.



“Ballparking” a Qualifying Loan Amount:



Simple step: We use a safe average of $7 per month in payment for every $1000 in purchase price so…



Step 1) $900 a month divided by $7 = $128.50



Step 2) $128.50 multiplied by 1000 = $128,500 loan amount.



Remember, these are average ratios and guidelines set by most lenders for common mortgage programs.



Keep in mind, while most consumer debts are listed on a credit report, there are some additional monthly liabilities that may contribute to the overall qualifying percentages as well.



Regardless of how your personal income and credit scenarios factor in, it is important to consider your overall budget when trying to determine how much of a mortgage you should qualify for.



Other items to consider in your monthly budget:



1. Confirm all debts are taken into account

2. Any private notes or family loans

3. Short-term expenses – medical, auto repairs, travel, emergencies

4. Plan on additional expenses for the home such as water, electric, maintenance, etc…

5. Keep a cushion for savings and financial planning

Contact me for a free credit report and preapproval same day.

502-905-3708 or email me at kentuckyloan@gmail.com



Fill out my form!