Financial Preparation Toolkit

Your complete roadmap to financial readiness. Real strategies. Real numbers. Real results.

Last updated: February 2026
Phase 2: Foundation Stage 2.1: Financial Prep

What You'll Learn

Saving for a home feels overwhelming because most advice is either too vague or assumes you have thousands sitting around. This toolkit breaks it down into actual, actionable steps based on where you are right now.

Calculate your exact down payment needs
Choose the right debt repayment strategy
Create a realistic savings timeline
Discover DFW-specific assistance programs
Find side income opportunities
Optimize your budget without sacrifice
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3 tools
Affordability, Mortgage, DTI
Calculator 1 of 3

How Much Home Can You Afford?

Calculate your maximum home price based on your income, debts, and savings. Uses the 28% front-end debt-to-income ratio lenders prefer.

Maximum Home Price
$0
Estimated Monthly Payment
$0
Your DTI Ratio
0%
Down Payment Percentage
0%
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How This Works:

Lenders typically use the 28% rule: your monthly housing payment (including taxes and insurance) shouldn't exceed 28% of your gross monthly income. This calculator factors in your debts to give you a realistic maximum home price.

Calculator 2 of 3

Monthly Mortgage Payment Calculator

See exactly what your monthly payment will be, including principal, interest, taxes, insurance, HOA, and PMI (if applicable).

Total Monthly Payment
$0
Principal & Interest
$0
Property Taxes
$0
Home Insurance
$0
HOA Fees
$0
PMI (if applicable)
$0
Down Payment Percentage
0%
Loan Amount
$0
Total Interest Over Life of Loan
$0
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About PMI:

Private Mortgage Insurance (PMI) is required when your down payment is less than 20%. PMI typically costs 0.5-1% of the loan amount annually. Once you reach 20% equity, you can request to have PMI removed.

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Debt-to-Income (DTI) Ratio Calculator

Check if your debt-to-income ratio qualifies you for a mortgage. Lenders want to see DTI below 43%, ideally below 36%.

Your DTI Ratio
0%
Enter your information
0% 36%
Good
43%
Max
50%+
Total Monthly Debts
$0
Monthly Income
$0
To Reach 36% DTI
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DTI Ratio Explained:

Under 36%: Excellent. You'll qualify for most loans with favorable terms.
36-43%: Good. You'll likely qualify, but may face slightly higher rates.
43-50%: Risky. Some lenders may approve you, but options are limited.
Over 50%: You'll need to reduce debt or increase income before qualifying.

Key Takeaways

  • Use the Affordability Calculator to determine your maximum home price based on the 28% rule lenders use
  • The Mortgage Payment Calculator breaks down your full monthly cost - not just principal and interest, but also taxes, insurance, HOA, and PMI
  • Check your DTI ratio before applying for pre-approval - lenders want to see below 43%, ideally below 36%
  • PMI adds 0.5-1% to your loan amount annually if your down payment is less than 20%
  • Even small changes in interest rates significantly impact your monthly payment and total interest paid
  • DFW's 2.1% property tax rate means property taxes are a substantial part of your monthly housing cost

What's Next?

Continue your journey with these related resources

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