Home Affordability Calculator
Compare buying an existing home vs. building your dream home
Your Financial Profile
$
Combined income of all earners in household
$
Cash on hand for the project
$
Car loans, student loans, credit cards, etc.
Affects your interest rate qualification
%
Check current rates with your lender
Length of mortgage repayment
Monthly Cash Flow (for Savings During Construction)
$
After taxes, health insurance, 401k, etc.
$
Housing, food, utilities, insurance, etc.
💡 Monthly savings = Take-home - Expenses - Debts. This can help cover costs during construction.
Building Cost Details
Land Acquisition
Check if you don't need to purchase land
$
Price of the lot/property
%
Percent you'll pay upfront for land
%
Usually higher than home mortgage rates
Construction Costs
sq ft
Total finished square footage
$
Budget: $150-250 | Mid: $250-400 | Luxury: $400+
💡 Note: Modern construction loans use single-close structure - same rate as your permanent mortgage during construction, converts automatically when complete
months
Typical: 12-16 months for custom home
Professional Fees & Soft Costs
%
Typical: 8-15% of construction cost
$
Structural, civil, MEP | Typical: $10k-$30k
$
Optional | Typical: $3k-$10k
$
Optional | Typical: $5k-$25k
$
Typical: $5k-$15k | Extensive: $20k+
$
Geotech, environmental, energy | $3k-$10k
⚠️ IMPORTANT: Soft costs (architect, engineering, design fees) typically must be paid from YOUR CASH, not financed by construction loan. Budget accordingly!
Permitting & Development
$
Building permits, plan reviews | $5k-$20k
$
Grading, utilities, driveway | $30k-$100k+
$
Schools, roads, utilities | $5k-$30k
General Contractor & Contingency
%
Typical: 15-20% of construction cost
%
Reserve for unexpected costs | 10-15%
Carry Costs During Construction
$
Tax on vacant land during build
$
Builder's risk policy | $3k-$8k/year
$
You'll continue paying this during build
After-Build Valuation
$
Compare to similar new homes in your area
%
Conservative: 20%+ | Moderate: 15%
Buying an Existing Home
$
Compare to recent sales in area
sq ft
Finished square footage
%
Typical: 2-5% of purchase price
$
Repairs/updates needed immediately
%
Check your county rate | 0.5-2.5%
$
Typical: $1k-$4k/year
$
$0 if no HOA | Typical: $100-$500
%
Typical: 1-2% | Older homes: 2-3%
Analysis & Comparison
CALCULATING...
Equity After Build
$0
0%
Profit Potential
$0
0% of value
Financial Risk
LOW
DTI within limits
Build Option
Total Project Cost:
$0
Required Down Payment (80% LTV):
$0
Your Available Down Payment:
$0
Max Loan Available (80% LTV):
$0
Actual Loan Amount:
$0
Monthly Payment (P&I):
$0
Cost per Sq Ft:
$0
Construction Carry Costs:
$0
Buy Option
Total Purchase Cost:
$0
Down Payment Needed:
$0
Loan Amount:
$0
Monthly Payment (P&I):
$0
Cost per Sq Ft:
$0
First Year Total Costs:
$0
Build Cost Breakdown
Affordability Analysis
Maximum Affordable Home (Build):
$0
Maximum Affordable Home (Buy):
$0
Debt-to-Income Ratio (Build):
0%
Debt-to-Income Ratio (Buy):
0%