FT FinToolSuite

Mortgage Planning

What Costs to Include in Mortgage Affordability

Use this friendly checklist to make sure your mortgage scenarios feel real: principal and interest, property tax, PMI/LMI, HOA, maintenance, insurance placeholders, utilities, and other debts.

Published: January 1, 2026 · Updated: January 1, 2026 · By FinToolSuite Editorial

Open the stress tester

Add these cost lines, run a scenario, and compare two runs with one change.

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Disclaimer

  • Educational only. Costs vary by region. No guarantees.
  • Examples are illustrative.
  • Results depend on your inputs and assumptions.

Checklist

  • Principal and interest
  • Property tax percent translated to monthly
  • PMI/LMI percent and threshold if applicable
  • HOA fees
  • Maintenance allowance (monthly smoothing)
  • Insurance placeholder
  • Utilities you must cover
  • Other monthly debts (loans, cards, etc.)

Common misses

People often forget maintenance, HOA increases, or PMI/LMI thresholds. Add them before comparing scenarios so the DTI distribution reflects reality.

Illustrative monthly breakdown

Example: $2,000 principal and interest, $350 property tax, $120 PMI/LMI, $150 HOA, $100 maintenance, $80 insurance placeholder, $150 utilities, $300 other debts = $3,250 total before other living costs.

FAQs

Do I include utilities?

Yes, include required utilities you pay directly.

How do I model PMI/LMI?

Enter the percent and threshold. See PMI/LMI explained.

Should I include closing costs?

Include if the tool supports it or note them separately; see closing costs explained.

Where is privacy info?

See Privacy Policy.

Check your costs

Open the mortgage affordability stress tester, add these cost lines, and rerun with one change at a time.

Open the stress tester