Loan Affordability Calculator

The Loan Affordability Calculator helps you determine the maximum loan amount you can comfortably afford based on your monthly income, expenses, interest rate, and loan term. This tool is designed to give you a realistic view of your borrowing capacity, helping you plan financially and avoid taking on too much debt.

Frequently Asked Questions

How does this calculator determine affordability?

It calculates your disposable income and estimates a safe monthly payment, then determines the loan amount you can support with that payment.

What percentage of income should go to a loan?

Financial experts often suggest using no more than 30% of your disposable income for loan payments.

Can this be used for mortgages?

Yes, although mortgages have additional costs like property tax and insurance, this tool offers a good estimate.

Does it include down payment or fees?

No, this calculator focuses only on estimating the loan amount based on repayment ability, not upfront costs.

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