This debt-to-income (DTI) ratio calculator shows how much of your gross monthly income goes to debt payments. Lenders use DTI to judge whether you can take on a mortgage or another loan.
DTI formulas
Back-end DTI = total monthly debt payments ÷ gross monthly income × 100
Front-end DTI = housing payment ÷ gross monthly income × 100
Count minimum required payments on loans and cards, rent or mortgage (with tax, insurance and HOA), and support payments. Do not count living costs such as groceries, utilities or phone bills.
Worked example
With $7,000 gross monthly income, a $2,000 housing payment, $400 car loan, $250 student loan and $100 in card minimums, total debts are $2,750. Back-end DTI is 39.3% and front-end DTI is 28.6%.
Frequently asked questions
What DTI do lenders want?
Many prefer 36% or less for all debts and 28% or less for housing. Some mortgage programs accept 43% or higher with strong credit or savings.
How can I lower my DTI?
Pay down debts with high monthly payments, avoid new borrowing before applying, or increase income.