Car Affordability Calculator
Find the car price your monthly budget, rate, term and down payment support.
Best for: Use it before shopping to set a realistic price ceiling, or to see how a bigger down payment or longer term changes what you can afford.
Purpose: Find the car price your monthly budget, rate, term and down payment support.
Input
Result
EstimateDown payment
$3,000
What to do next
Part of the 🚗 Buy a Car pathNext: Auto Loan CalculatorMore about this result
- Type
- Industry Standard
- Method
- Industry-standard method
- Confidence
- High
Uses the standard formula and conventions the industry relies on.
The figure is the sticker price your budget supports for the vehicle itself. Taxes, registration, insurance and running costs are extra, so keep some headroom.
- Inflation often matters more than expected over the long run.
- Small rate changes can significantly affect total outcomes.
- Long-term consistency usually beats short-term timing.
Small, consistent changes compound: time in the market usually beats timing the market.
How it's calculated & sources
Free & no sign-up · runs entirely in your browser. Results are estimates for general information, not professional advice — verify important decisions with a qualified expert. Last reviewed June 2026.
How it works
Max loan = M × (1 − (1 + i)−n) ÷ i, then Max price = Max loan + Down payment. M = monthly budget, i = APR ÷ 12, n = term in months.
Example
$400/month at 7% APR over 60 months with $3,000 down → about a $23,200 car.
Frequently asked questions
How much of my income should a car payment be?+
A common guideline keeps the car payment under about 10-15% of monthly take-home pay, and total car costs (payment, insurance, fuel, upkeep) under roughly 20%.
Does this include tax, insurance and fees?+
No — it estimates the vehicle price your payment and down payment support. Budget separately for sales tax, registration, insurance and running costs.
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