Family with dog on bed

Your Current & Future Expenses

Before applying for a mortgage, take a comprehensive look at your budget and existing debts, and then consider how a new home would add to it. Remember – it’s not just the mortgage payments, but also the electric bill, water bill, and other costs.

The Down Payment

Affordability also depends on the down payment: The more you put down, the less you pay monthly. But if you don’t have enough for a down payment, it won’t matter if you can afford the monthly payments, because you won’t be able to buy the house.

Many buyers try to put down 20%. But because that could be as much as $40,000 on a $200,000 house, that's the kind of money you’d really have to plan for. If you’re a first-time homebuyer, though, your down payment could be as little as 3%.

3% Down for First-Time Buyers

Affinity Plus offers the 97% Home Purchase Loan to first-time homebuyers, requiring only 3% up front.

Fixed Rates Mean Predictable Payments

When you're checking out mortgage interest rates, keep in mind that fixed rates (vs. adjustable ones) give you the advantage of a consistent amount due every month. And that's easier for budget planning.

Affordability Calculator

Use our Affordability Calculator to estimate how much home you could afford based on income, your down payment, and different interest rates. You don't have to know exact numbers. Just plug in your best guess to get a good idea of what to expect.

Consider Getting Preapproved

Another way to get a really good idea of realistic price ranges is to apply for a mortgage preapproval. That gives you an idea about how much you could afford and what you’d ideally like to spend. And on top of that, it makes you look more serious to sellers.

Get Help Finding the Right House

Find a certified agent through our free service with HomeAdvantage®, and get expert help finding your dream home at the right price.

*A loan for 30-years at 2.976% APR will result in approximate monthly payment $1,037.23. Payment examples for conventional fixed loans are based upon a $250,000 loan for a single-family residence in Minnesota and include finance charges. Jumbo loans are based upon a $750,000 loan amount. Taxes, insurance premiums and mortgage insurance (where applicable) are not included. Closing costs will apply. Homeowner's insurance is required on the property securing the loan. New or existing Affinity Plus membership is required. Your rate may be different depending on your credit history, loan-to-value, property value and other factors. Taxes, insurance premiums and mortgage insurance (where applicable) are not included and may increase your payment. This example is for example purposes only, actual rates may vary. See current rates.
**Rate adjustments may apply to all loans with a 3% down payment based on credit, loan to value and debit to income.