Salary needed

What salary do you need for a $1 million house?

At this week’s average rate of 7.28%, a $1,000,000 home with 20% down costs about $6,540 a month including taxes and insurance. Keeping that at 36% of gross income takes about $218,012 a year.

Income needed, 20% down$218,01236% of gross income
Monthly payment, 20% down$6,540Principal, interest, taxes, insurance
Stretch income, 20% down$182,52243% of gross income
Use your own taxes, debts and rateIncome needed calculator

Income needed by down payment

Down paymentLoanMonthly paymentIncome (36%)Income (43%)
3.5% ($35,000)$965,000$8,393$279,769$234,225
5% ($50,000)$950,000$8,121$270,695$226,628
10% ($100,000)$900,000$7,600$253,319$212,081
20% ($200,000)$800,000$6,540$218,012$182,522

Where homes typically sell for about this price

StateZIP codes with a median sale price within 10%
California144
New York62
Massachusetts39
New Jersey38
Washington32
Florida31
Colorado28
Hawaii16

How we calculated it

We used a 30-year fixed rate of 7.28% (Freddie Mac’s weekly average for the week of 2026-10-01), property taxes of 1.1% of the price a year (close to the national typical rate), $1,800 a year for insurance and estimated mortgage insurance under 20% down. Your taxes can be far higher or lower depending on where you buy; the income needed calculator lets you use your own numbers.

Questions

How much do I need to make to afford a $1,000,000 house?

About $218,012 a year with 20% down, or about $279,769 with 3.5% down, at a 7.28% rate with typical taxes and insurance.

What share of income should go to housing?

A common guideline keeps housing plus other debts at or below 36% of gross income. Many lenders approve up to about 43%.