Rent Affordability Calculator

Find out how much rent you can afford based on your income and monthly debts.

Updated

You can afford rent of up to

$1,550 / month

Recommended rent
$1,117
Gross monthly income
$5,417
1/3 of gross income
$1,806

Based on the 28/36 budgeting rule: the maximum keeps rent plus debt payments at 36% of your gross monthly income, and the recommended amount keeps them at 28%, leaving more room for savings and other expenses.

Your gross monthly income

  • Debt payments: $400 (7%)
  • Recommended rent: $1,117 (21%)
  • Stretch rent (up to the maximum): $433 (8%)
  • Rest of income: $3,467 (64%)

Was this tool helpful?

Leave a rating to help us build a better tool.

Average 0.0 / 5 · 0 reviews

How this rent affordability calculator works

Enter your pre-tax income, per year or per month, and the total of your monthly debt payments. This rent calculator converts your income to a gross monthly amount and shows the most rent you can afford, a more comfortable recommended rent, and how your income splits between debts, rent, and everything else.

  • Maximum rent = 36% of gross monthly income − monthly debt payments
  • Recommended rent = 28% of gross monthly income − monthly debt payments

For example, $65,000 a year is $5,417 a month. With $400 in monthly debt payments, you can afford up to $1,550 a month in rent ($1,950 − $400), and a recommended rent of $1,117 ($1,517 − $400).

How much rent can I afford?

The calculator treats rent the way lenders treat a mortgage payment: as part of your debt-to-income ratio, which is all monthly debt payments divided by gross monthly income. The 28% and 36% limits come from the 28/36 rule, a common budgeting guideline borrowed from mortgage lending. They are a budget estimate, not a rule landlords or lenders must follow.

The 36% maximum matches the starting debt-to-income limit Fannie Mae uses for manually underwritten mortgages, although Fannie Mae allows higher ratios for borrowers who meet its credit score and savings requirements. The 28% recommended amount is a more cautious budget that leaves more of your paycheck for taxes, savings, and everyday costs.

Because debts count against the same budget, every $100 of monthly debt payments lowers the rent you can afford by $100.

Frequently asked questions

How much should I spend on rent?

A common guideline is about 30% of your gross income. HUD considers households that spend more than 30% of their income on housing, including utilities, to be cost burdened. This calculator gives a range instead: a recommended rent at 28% of income and a maximum at 36%, both after your debt payments. If you have little debt, the 30% rule and the recommended amount land close together.

What rent-to-income ratio do landlords look for?

Many landlords want rent to be no more than about one third of your gross income, or equivalently, income of about three times the rent. The results show that one-third amount and flag when your maximum rent goes above it.

Can I use this as a rent budget calculator?

Yes. The income chart shows how much of your gross monthly income goes to debts and rent and how much is left. Remember that taxes come out of the remaining amount, so plan utilities, renter's insurance, groceries, and savings from your take-home pay.

How much apartment can I afford on my salary?

Enter your annual salary before taxes and choose "Per year." The maximum rent is the top of your budget for an apartment, including any fees you pay every month.

Limitations

The calculation uses only gross income and monthly debt payments. It does not account for taxes where you live, utilities, savings goals, or a landlord's credit and income requirements. Treat the results as a starting point for your budget, not financial advice.

What's changed
  • Launched.

References