Monthly mortgage payment based on varying interest rates and home purchase prices

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There is a lot of talk about how rising rates can change the affordability landscape for potential homeowners in the US. To help illustrate the impact interest rates have on home prices, we've created a simple sensitivity table below showing what your monthly mortgage payment would be based on a variety of home prices and interest rates.

Additionally, we can lock the price to see what the mortgage payment will look like for a $500k home only, comparing against historical notable rates. As we can see below, at a 6% interest rate the monthly mortgage for a $500K home is 40% higher compared to 1 year ago and the payment doubles at a 10% interest rate.

No one can accurately project where home prices are going, but we can clearly see the ability to afford a home drops significantly (maybe more than some may guess off the top of their head) for each incremental percentage point interest rates increase by.