Skip to content Skip to footer site map

Navigate Up
Sign In

Making Home Affordable An official program of the Departments of the Treasury & Housing and Urban Development


 Payment Reduction Estimator

Under the Home Affordable Modification Program, the target maximum amount for your mortgage payment (or mortgage debt-to-income) should be approximately 31% of your gross (pre-tax) monthly income. This Payment Reduction Estimator will help determine what your current mortgage debt-to-income is and how much your monthly payment could be reduced if you qualify for a modification. Based on your individual financial situation, under HAMP, your final modified payment may be above or below the 31% debt-to-income ratio.
Do not include any payments on your second mortgage. You may have taxes and interest in escrow added to your monthly payment already, so be careful to count taxes and escrow only once.

*This tool should be used for estimation purposes only and will not determine a homeowner's final eligibility for a HAMP modification.
Payment Reduction Estimator
Be sure to INCLUDE principal, interest, taxes, insurance and homeowners association dues if applicable.
Monthly Housing Payment Calculator


  • Enter Monthly Principal and Interest on Your Primary Mortgage Only: Includes the amount you are required to pay each month, even if you currently pay interest-only.
  • Enter Monthly Taxes: Include only the monthly amount, no matter how it is billed. If you pay your taxes annual, divide this amount by 12 to get your monthly tax payment.
  • This is Your Total Monthly Housing Payment: If you know your total monthly housing payment for your primary mortgage, leave the above fields blank and enter your total monthly payment amount here.
  • Homeowner's Association Dues or Assessments: If you pay HOA dues or assessments once a year - divide the annual amount by 12 and enter that amount. If you pay quarterly - multiply the quarterly payment by 4 then divide by 12 and enter that amount.

Please write this number down.

. This is the income of all borrowers who signed your mortgage BEFORE taxes and any adjustments.
Monthly Gross Income Calculator
Gross Monthly Income: the total monthly income of all the borrowers who signed your mortgage before any taxes or other deductions are made.
(Net Income)


  • Enter Your Monthly Take Home Pay (Net Income): This is the amount of money all borrowers who signed your mortgage (for example your spouse or a co-signer) are actually paid each month after taxes are deducted. Be sure to add the monthly net pay of all borrowers. This is a monthly amount so if any borrowers are paid twice a month, simply add those two amounts together to get that borrower's monthly net pay.
  • Estimated Monthly Gross Income: This is a rough estimate of the total monthly pay of all borrowers before any taxes are deducted.

Please write this number down.

Note: to protect your privacy, this site will not record your information.
This is Your Current Debt-to-Income (DTI) Level
Target DTI under the Home Affordable Modification
Potential New Monthly Payment If You Qualify
Potential Monthly Payment Reduction If You Qualify
Note: to protect your privacy, this site will not record your information.
Bookmark and Share
Last Updated: 5/29/2012 3:46 PM