Do I need 20% down to buy a home in New Braunfels?

Using the 28/36 rule as a general guide, a buyer would typically need gross household income in the range of $95,000 to $110,000 to comfortably afford a $400,000 home in New Braunfels, depending on the interest rate, down payment, property tax rate, insurance cost, and existing debt. This is a planning estimate, not a loan approval — a lender will calculate your exact number based on your full financial picture.

Most lenders prefer a back-end debt-to-income ratio — total monthly debt payments including the new mortgage, divided by gross monthly income — at or below 43 to 45 percent, with some programs allowing higher ratios for well-qualified borrowers. A lower DTI generally means more loan options and better terms, since it signals more room in your budget to absorb the payment.

Texas property taxes run above the national average, and since they're included in most lenders' housing-payment calculations, a higher tax rate directly reduces the loan amount you'll qualify for at a given income. Comal County's specific rates and how homestead exemptions reduce the taxable value are covered in the New Braunfels Property Tax Guide.

Pre-qualification is a quick, informal estimate based on information you self-report, with no verification. Pre-approval involves a lender actually verifying your income, assets, credit, and debt, and results in a conditional commitment in writing. Pre-approval carries real weight with sellers and gives you an accurate number; pre-qualification is a rough starting estimate at best.