Income
A buyer's salary, wages, and any additional sources of income directly impact their ability to afford a home. Obviously the higher your income the more you are able to comfortably afford.
interest rates
When interest rates are low, buyers can afford more expensive homes with the same monthly mortgage payment. Conversely, higher interest rates may limit the affordability of homes, reducing purchasing power.
debt and credit score
A good credit score and manageable debt contribute positively to purchasing power, enabling buyers to qualify for lower interest rates and larger loan amounts.
credit score
A larger down payment can lower the loan amount and monthly mortgage payments, expanding the range of affordable homes.