Documentation  /  Home3  /  Mortgage & affordability

Mortgage & affordability

Estimating monthly payments, closing costs, and what you can realistically afford.

Payment estimates

For any listing, Home3 estimates the monthly cost of owning it based on price, deposit, rate, and term. The estimate breaks down into its components rather than presenting a single figure.

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Principal & interest

The core mortgage repayment at the rate and term you specify.

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Property taxes

Estimated based on local rates where that data is available.

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Insurance

Estimated homeowner insurance cost, which risk factors can materially affect.

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Other recurring costs

HOA or similar fees where the listing discloses them.

Closing costs

Upfront costs are frequently underestimated by first-time buyers. Home3 estimates the one-off costs associated with completing a purchase - lender fees, title and escrow, inspection, and recording - so the total cash requirement is visible before you commit.

Affordability

Working backwards from your income, existing obligations, and available deposit, Home3 estimates a realistic purchase price range.

What the estimate uses

Gross income, recurring debt obligations, deposit available, and target monthly payment. Adjusting any input updates the range immediately.

Affordability figures are estimates for planning purposes. They are not a lending decision, a pre-approval, or financial advice. Actual borrowing capacity is determined by a lender against their own criteria.

Comparing scenarios

Deposit size, rate, and term can be varied to see how each affects the monthly figure and the total paid over the life of the loan. This is useful when deciding whether to stretch on deposit or accept a longer term.

Next: saved homes & compare

Shortlist candidates and evaluate them side by side.

Read comparison docs