You may need roughly $87,000 a year to afford a $350,000 home if you have limited monthly debt and make a moderate down payment.
That doesn’t mean and $87,000 salary guarantees you can afford that much house. Recurring debts like student loans and car payments can affect what you qualify for.
Key Takeaways
- You may need around $87,000 a year to afford a $350,000 home with limited monthly debt. Under the assumptions used here, the estimate is about $86,000 with 10% down.
- Your down payment can change the salary needed substantially. The estimated income requirement falls to about $74,000 with 20% down but rises to around $90,000 with 5% down.
- FHA financing can be especially relevant at this price point. A $350,000 home is comfortably within 2026 FHA loan limits, and eligible borrowers may put as little as 3.5% down.
What Salary Do You Need for a $350k Home?
The answer depends heavily on how much you put down.
Using the assumptions in this article, the estimated income needed ranges from about $74,000 with 20% down to roughly $92,000 with 3% down.
Estimated Income Needed for a $350,000 Home
| Down payment | Cash down | Estimated annual income needed |
|---|---|---|
| 3% | $10,500 | About $92,000 |
| 5% | $17,500 | About $90,000 |
| 10% | $35,000 | About $86,000 |
| 20% | $70,000 | About $74,000 |
Putting more down lowers the mortgage balance and can reduce or eliminate private mortgage insurance. The tradeoff is that you need considerably more cash at closing.
If you’re approaching affordability from your income instead, Movoto’s guide to how much house you may be able to afford on a $70,000 salary shows how a lower income changes the purchase-price range.
What Would the Monthly Payment Be on a $350,000 Home?
With 10% down, you’d put down $35,000 and finance about $315,000 before closing costs.
Estimated Monthly Payment With 10% Down
| Payment component | Estimated monthly cost |
|---|---|
| Principal and interest | $2,024 |
| Property taxes | $321 |
| Homeowners insurance | $102 |
| Estimated PMI | $131 |
| Estimated total | $2,578 |
Under the planning assumptions used here, that payment corresponds to annual income of about $86,000 before adding other recurring monthly debt.
For nearby purchase prices, compare this with the income needed for a $300,000 home and the income needed for a $400,000 home.
Can You Use an FHA Loan for a $350k Home?
Yes, assuming you meet the program’s other requirements.
HUD says FHA-insured mortgages can allow down payments as low as 3.5%. On a $350,000 home, that’s $12,250.
The loan amount is also comfortably within FHA’s 2026 limits. HUD lists the 2026 one-unit FHA floor at $541,287, with higher limits in designated high-cost areas.
That makes the purchase price itself unlikely to be the limiting factor for FHA financing at $350,000.
The tradeoff is mortgage insurance. FHA loans generally include an upfront mortgage insurance premium as well as annual mortgage insurance collected through the monthly payment.
So FHA may reduce the cash needed upfront without necessarily producing the lowest possible monthly payment.
Could Down Payment Assistance Help With a $350k Home?
Possibly.
For many first-time buyers, the hardest part of a $350,000 purchase isn’t necessarily supporting the monthly payment. It’s accumulating the down payment and closing costs.
HUD directs buyers to state and local homebuying programs that may provide help with down payments or other upfront costs.
The details vary widely. Programs can have:
- Household-income limits
- Maximum purchase prices
- First-time-buyer requirements
- Location restrictions
- Homebuyer education requirements
Some assistance comes as a grant, while other programs use forgivable, deferred or repayable second loans.
Don’t assume that earning around $87,000 automatically makes you eligible or ineligible. Qualification depends on the specific program and where you’re buying.
Should You Wait Until You Have a Bigger Down Payment?
Not necessarily.
Putting 20% down on a $350,000 home means bringing $70,000 for the down payment alone. That can reduce your monthly payment and generally avoids PMI on a conventional mortgage, but it may take years longer to save.
Buying sooner with less money down may make sense if you can comfortably afford the payment and still keep an adequate financial cushion.
On the other hand, waiting may make sense if a smaller down payment would leave the monthly payment too tight.
Lower’s rent vs. buy calculator can help compare the cost of continuing to rent while saving against buying sooner.
How Does Existing Debt Change the Salary You Need?
The estimates above assume little other monthly debt.
If you already have car loans, student loans or credit card payments, you’ll generally need more income to support the same $350,000 purchase.
For example, the estimated housing payment with 10% down is about $2,578 per month. Add $500 in recurring monthly debt and your overall debt burden rises substantially even though the home price hasn’t changed.
That’s why two people buying the same home can need very different salaries.
What Does $350,000 Actually Buy?
A $350,000 budget can buy very different homes depending on where you’re shopping.
In many lower-cost and mid-priced markets, that amount may still buy a detached single-family home. In more expensive metros, you may find more condos, townhomes, smaller homes or properties farther from the urban core.
Movoto’s look at what kind of house you can buy with about $400,000 gives a useful view of how that next price tier varies across markets.
For a broader affordability estimate using your own income, debt and down payment, Movoto’s home affordability guide and calculator can help you compare scenarios.
Bottom Line
You may need around $87,000 a year to afford a $350,000 home with limited monthly debt and a moderate down payment. Putting more money down can lower the salary needed, while recurring debt and higher housing expenses can increase it.
At this price point, FHA financing and down payment assistance may also be worth exploring, particularly if your monthly income can support the home but saving enough cash upfront is the bigger challenge.
How We Estimated These Numbers
The income and payment examples in this article use the following assumptions:
| Assumption | Value used |
|---|---|
| Home price | $350,000 |
| Mortgage term | 30-year fixed |
| Illustrative interest rate | 6.66% |
| Housing-cost planning ratio | 36% of gross monthly income |
| Total debt-to-income ceiling for debt examples | 43% |
| Estimated property taxes | 1.1% of home value annually |
| Estimated homeowners insurance | 0.35% of home value annually |
| Private mortgage insurance | Estimated when conventional down payment is below 20% |
Interest rate based on Freddie Mac’s mortgage rate survey from Aug. 27, 2026. Last updated Sept. 3, 2026. These figures are planning estimates, not universal lender guidelines. Actual qualifying income depends on your mortgage rate, debts, taxes, insurance, loan type and underwriting requirements.
FAQ
How much income do you need for a $350,000 house?
Around $87,000 a year is a useful starting estimate with limited monthly debt. Under the assumptions used here, estimated income is about $86,000 with 10% down and about $90,000 with 5% down.
Can I afford a $350,000 house making $80,000 a year?
Possibly, especially with a larger down payment. Under the assumptions here, the estimated income needed falls to about $74,000 with 20% down. With a smaller down payment, an $80,000 income may be below the estimated range.
How much is a down payment on a $350,000 home?
A 5% down payment is $17,500, 10% is $35,000 and 20% is $70,000. Eligible FHA borrowers may be able to put down 3.5%, or $12,250.
Is a $350,000 home within FHA loan limits?
Yes. The 2026 FHA loan-limit floor for a one-unit property is $541,287, so a typical FHA mortgage on a $350,000 home is below the nationwide floor. Other FHA eligibility and underwriting requirements still apply.
