Debt-to-Income (DTI) Ratio Calculator
Calculate your DTI ratio to assess financial health and home affordability
đ° Income Information
đ DTI Calculation Results
Calculate Your DTI Ratio
Enter your income and debt information to calculate your debt-to-income ratio and see how it affects your mortgage eligibility.
đ Understanding Debt-to-Income Ratio
What is DTI?
Debt-to-income ratio is the percentage of your monthly income that goes toward paying debts. It's a key factor lenders use to assess your ability to repay loans.
Front-End vs Back-End
Front-end DTI includes only housing costs (â¤28% ideal). Back-end DTI includes all monthly debt payments (â¤36% for conventional loans).
Mortgage Qualification
Conventional loans typically require DTI â¤36%. FHA loans may allow up to 43%. Lower DTI ratios improve your chances of approval and better rates.
How to Improve DTI
Increase income through raises or side jobs. Pay down existing debts. Avoid taking on new debt before applying for a mortgage.
DTI Guidelines for Mortgage Loans
Loan Type | Front-End DTI | Back-End DTI | Notes |
---|---|---|---|
Conventional | ⤠28% | ⤠36% | Standard requirements for most lenders |
FHA Loan | ⤠31% | ⤠43% | More flexible for first-time buyers |
VA Loan | N/A | ⤠41% | For qualified veterans and service members |
USDA Loan | ⤠29% | ⤠41% | For rural and suburban homebuyers |