CALCMONEY // HOME AFFORDABILITY // PA // ALLENTOWN
How much house can you afford in Allentown? Based on local median home prices, current PA mortgage rates, and Allentown property tax data.
$215,000
$1,604/mo
$68,759/yr
$123,531
Monthly housing costs of $1,604 represent 40.1% of Allentown's median gross monthly income ($4,000/mo). At 40.1%, median-income buyers in Allentown are significantly stretched — well above the 28% guideline. A larger down payment or higher income is required.
| Median Home Price | $215,000 |
| Down Payment (20%) | $43,000 |
| Loan Amount | $172,000 |
| Monthly PI Payment | $1,139 |
| Monthly Property Tax | $376 |
| Monthly Insurance Est. | $90 |
| Total Monthly PITI | $1,604 |
| Housing Cost % of Income | 40.1% |
| Required Income (28% rule) | $68,759/yr |
| Max Affordable Home | $123,531 |
$7,525
$1,986/mo
Allentown Home Affordability Quick Reference 2026
| Metric | Value | Notes |
|---|---|---|
| Median Home Price | $215,000 | Allentown city median |
| Down Payment (20%) | $43,000 | Conventional loan |
| Monthly PITI | $1,604 | 6.95% rate, 30yr fixed |
| Required Income (28% rule) | $68,759 | Annual gross |
| Max Affordable Home | $123,531 | Based on median income |
| FHA Down (3.5%) | $7,525 | Minimum FHA |
| Housing Cost % of Income | 40.1% | Median income: $48,000/yr |
| Property Tax Rate | 2.1% | $4,515/yr on median home |
Monthly PITI includes principal, interest, property tax, and homeowners insurance. Estimates only.
The median home price in Allentown is $215,000, with a local 30-year mortgage rate of 6.95%. A buyer putting 20% down carries a loan of $172,000, generating a monthly P&I payment of $1,139. Adding property taxes ($376/mo) and homeowners insurance ($90/mo) brings total monthly PITI to $1,604.
Allentown's property tax rate of 2.1% is notably high, meaningfully reducing how much home buyers can afford — lenders factor this directly into debt-to-income calculations. On the Allentown median home, that is $376/month, or $4,515 per year.
Pennsylvania levies a state income tax, which affects take-home pay and effective buying power. High-income earners in Allentown should factor state tax liability into their overall housing budget — mortgage interest may be deductible on both federal and state returns.
Using the 28% rule, a household earning Allentown's median income of $48,000/year can afford up to $1,120/month in total housing costs. Based on Allentown's mortgage rate of 6.95% and property tax rate of 2.1%, that translates to a maximum affordable home price of approximately $123,531 with 20% down on a 30-year loan.
To afford the median Allentown home priced at $215,000, you need an annual gross income of approximately $68,759. Total monthly housing costs (principal and interest of $1,139, property taxes of $376, and insurance of $90) come to $1,604/month, which equals 28% of the required income.
At the median home price of $215,000 and median household income of $48,000, the total monthly housing cost of $1,604 represents 40.1% of gross monthly income. This is well above the standard 28% threshold, making Allentown a challenging market for buyers at median income.
A conventional 20% down payment on the median Allentown home of $215,000 is $43,000. An FHA loan requires just 3.5% down — $7,525 — but adds mortgage insurance of roughly $147/month, bringing total FHA payments to $1,986/month.
Philadelphia
$265,000 median
PAPittsburgh
$215,000 median
PAErie
$155,000 median
PAScranton
$175,000 median