How Much House Can I Afford in DC, Maryland & Virginia? (2026)

The first question every DC, Maryland, and Virginia homebuyer asks is some version of "how much house can I afford?" The answer most people settle on — "about three times my salary" — is a rough rule of thumb that has never survived contact with a real lender's underwriting engine. The real answer depends on your debt-to-income ratio, your down payment, the program you choose, and the taxes and insurance on the specific property. Here is how that math actually works in the DMV, and how to find your real number before you start touring houses.

The Short Answer: It's About DTI, Not Salary

Lenders do not care what you earn in isolation. They care what you earn relative to what you already owe. That ratio — your debt-to-income ratio, or DTI — is the single biggest number that decides how much house you qualify for. A buyer earning $120,000 with a $600 car payment and $400 in student loans qualifies for less house than a buyer earning $95,000 with zero other debts. Salary sets the ceiling; your existing debts lower it.

The 28/36 Rule, Explained

Take a household earning $110,000 a year. That is roughly $9,167 in gross monthly income. Under the 28/36 rule:

• Front-end (housing only): 28% of $9,167 = $2,567 a month for principal, interest, taxes, insurance, and HOA — the full PITI
• Back-end (all debts): 36% of $9,167 = $3,300 a month for housing plus every other debt on your credit report — auto loans, student loans, credit card minimums, child support

If that household carries $600 a month in other debt payments, the back-end ratio is what binds first: $3,300 minus $600 leaves $2,700 for housing — slightly more than the 28% front-end figure, because lenders let the housing piece flex up when other debts are low. The binding constraint is whichever ratio the program caps more tightly.

Real Affordability Math on a $110,000 Income

Here is how that $110,000 household translates into a purchase price in the DMV at a mid-6% rate, assuming 5% down and typical Montgomery County property taxes:

Notice what just happened: a $110,000 household can comfortably support about a $305,000 purchase — not the $330,000 a naive "three times salary" guess would suggest. Taxes, insurance, and mortgage insurance eat roughly $730 a month before a dollar of principal or interest. That is why online calculators that ignore PITI always overstate what you can buy.

What's Actually Inside Your Monthly Payment (PITI)

Your mortgage payment is not just principal and interest. Lenders underwrite the full PITI:

• Principal — the loan balance you pay down each month
• Interest — the cost of borrowing, driven by your rate
• Taxes — property taxes, escrowed monthly (in DC, MD, and VA these typically run 0.8% to 1.2% of value per year)
• Insurance — homeowner's insurance, also escrowed
• Plus, if applicable: mortgage insurance (MI/MIP) and HOA or condo dues

Your Down Payment Changes Everything

The 20%-down rule is the most expensive myth in homebuying. It is not a legal requirement and it is not a program requirement for most buyers in the DMV. The programs we broker let you buy with far less:

• 0% Down FHA and VA — nothing down, no mortgage insurance on VA, FHA MIP applies
• 3.5% Down FHA — the standard FHA path, credit from 580
• 1% Down Conventional — you bring 1%, assistance covers the rest to 3%, credit 680+
• 3% Down Conventional — the standard low-down conventional option
• Down payment assistance grants (Maryland Mortgage Program, Virginia Housing, DC HPAP) that can cover part or all of your down payment

DTI Limits by Program

Different programs cap your back-end DTI at different levels, and the cap directly controls your max purchase price:

DMV Affordability by Submarket

Where you buy in the DMV changes your affordability through property taxes and price levels. A buyer qualifying for a $400,000 purchase can comfortably target a townhome in Prince George's County or parts of eastern Fairfax, a condo in DC east of the river or in Arlington's mid-rise market, or a starter single-family in Baltimore County. The same buyer is priced out of close-in Bethesda, McLean, or Northwest DC detached homes — those submarkets start in the $700,000s and run well past $1 million. Knowing your real number before you pick a neighborhood saves weeks of looking in the wrong zip codes.

What Lowers Your Max (and How to Fix It)

• High existing debt — pay down or pay off installment loans before applying; even a $300/month freed up adds meaningful purchase power
• Low down payment cash — pair with a DPA grant to stretch your budget without draining savings
• Credit score below 680 — raising your score 20–40 points can unlock better pricing and lower MI
• Co-mingled or untraceable deposits — clean up your bank accounts 60 days before applying
• New credit activity — do not finance a car or open a card between pre-approval and closing

Find Your Real Number — Free

Stop guessing with online calculators that ignore taxes, insurance, and the programs that actually fit you. We pull your credit, verify your income, factor in your real debts, and tell you the exact purchase price you qualify for across 100+ lenders — including which down payment assistance grants stack on top. Most pre-approvals come back within 24 hours, and it costs you nothing because the lender pays us, not you. Bring your numbers and we will show you what you can actually buy in the DMV.