Debt-to-Income (DTI) Ratio Calculator
Calculate your front-end and back-end DTI ratio and compare it to mortgage-approval thresholds (28/36/43/50%). Runs in your browser.
Mortgage/rent + tax + insurance + HOA.
Cards, auto, student loans, etc.
- Front-end DTI (housing)
- 27.1%
- Back-end DTI (all debt)
- 37.1%
DTI = monthly debt ÷ gross (pre-tax) monthly income. Front-end is housing only; back-end includes all debt. Common mortgage guidelines: front-end ≤ 28%, back-end ≤ 36% (ideal), up to 43% for a Qualified Mortgage, and to ~50% with strong compensating factors. Lower DTI improves approval odds and rates. Informational, not a lending decision.
About this tool
Debt-to-income ratio (DTI) is the single most important number in mortgage qualification: the share of your gross monthly income that goes to debt payments. This calculator computes both versions lenders use. Front-end DTI counts only your housing payment (mortgage or rent plus property tax, insurance, and HOA) against income; back-end DTI counts all monthly debt — housing plus credit cards, auto loans, student loans, and other obligations. It then compares your back-end ratio to the standard thresholds: a front-end at or below 28% and back-end at or below 36% is the classic 'ideal,' 43% is the upper limit for a Qualified Mortgage, and lenders may stretch to around 50% with strong compensating factors like large reserves or excellent credit. DTI uses gross (pre-tax) income, and lower is better — it improves both approval odds and the rate you are offered. To lower DTI, pay down debts (especially those with small balances but large payments), increase income, or choose a less expensive home. It is informational, not a lending decision. Everything runs in your browser.
How to use it
- Enter your gross (pre-tax) monthly income.
- Enter your monthly housing payment (PITI + HOA).
- Enter all other monthly debt payments.
- Read your front-end and back-end DTI vs the approval thresholds.
Frequently asked questions
- What is a good DTI for a mortgage?
- The classic guideline is front-end ≤ 28% and back-end ≤ 36%. Many loans allow back-end up to 43% (the Qualified Mortgage limit), and some programs stretch to ~50% with strong compensating factors. Lower DTI means easier approval and better rates.
- What is the difference between front-end and back-end DTI?
- Front-end counts only housing costs (mortgage/rent + taxes + insurance + HOA) against income. Back-end adds all other recurring debt — cards, auto, student loans. Lenders weigh the back-end ratio most heavily.
- Is DTI based on gross or net income?
- Gross (pre-tax) monthly income. Use your income before taxes and deductions, since that is what lenders use. For self-employed borrowers, lenders typically use averaged net business income from tax returns.
- What debts count in DTI?
- Recurring monthly obligations: housing, minimum credit-card payments, auto loans, student loans, personal loans, child support/alimony. It generally excludes utilities, insurance (except as part of housing), groceries, and other non-debt living expenses.
- How do I lower my DTI?
- Pay off or pay down debts (eliminating a payment helps most — target small-balance, high-payment loans), avoid taking on new debt before applying, increase income, or buy a less expensive home to shrink the housing payment.
- Is this a lending decision?
- No. It is an informational calculation. Lenders apply their own rules, verify income, and consider credit, assets, and the full application.