Cover your bases If you want to lock in a mortgage before you begin searching for a home, you can try to prequalify. Click here to learn more!

While there are no hard and fast rules, most lenders use qualifying criteria set by Fannie Mae and Freddie Mac , corporations that buy mortgages from lenders, to evaluate whether you're a good candidate for a mortgage.

The first requirement is that you earn enough income to afford payments. That generally means you shouldn't spend more than 28% of your pretax income, or your salary before taxes, on housing. But if you make a big down payment or qualify for a government-sponsored program, you may be able to get away with allocating more than that each month.

Even if your income puts you in the 28% range, you still have to prove you don't have too much debt hiding in the background. Usually no more than 36% of your monthly income can go toward all your monthly loan payments, which may include your mortgage, credit card balances, student loans, and car payments.

A steady job history and good credit history are also crucial to getting through the mortgage process successfully. All in all, if you're a good candidate, you should be able to afford a house that costs about 2.5 times your annual salary. If you and a partner or spouse are buying jointly, both of your incomes count toward this standard.

Your total debts, including your mortgage payments, should not exceed ________________ of your pretax income. 28% 36% 50%