How much house can I afford on $150k income?

The practical answer

A $150,000 household income supports a home in roughly the $500,000–$700,000 range in most moderate-cost markets — but the honest answer depends less on income and more on what you have saved for a down payment and how much monthly payment feels sustainable after taxes.

As a worked example: a married couple earning $150k combined, with $100,000 in investable assets, keeping a $25,000 cash cushion, borrowing on a 30-year fixed at 6.75% in a moderate-tax suburb, models out to roughly a $610,000 home with about $80,000 down (12%) and a payment near $4,200/month including property tax. At this income, the constraint is usually savings and monthly comfort, not lender approval.

• Below 20% down you will likely pay PMI, which adds to the effective monthly cost.
• A $300–$500 monthly car or student loan payment can reduce your affordable price by $50,000 or more.
• Property taxes vary from under 0.5% to over 2% of home value by county — at this price point that swing is worth hundreds per month.
• Keeping a real cash cushion after closing matters more at $150k than at higher incomes, since rebuilding savings takes longer.

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