Debt-to-Income Ratio Calculator

Q: What is a good debt-to-income ratio for a mortgage?

For conventional loans, most lenders want a back-end DTI at or below 43%, though 36% or lower is considered excellent. FHA loans allow back-end DTI up to 50% with compensating factors. VA loans are more flexible, often approving up to 41% back-end DTI. Front-end DTI (housing costs only) should generally be 28% or below for conventional loans.

Q: How do you calculate debt-to-income ratio?

Divide your total monthly debt payments by your gross monthly income and multiply by 100. Front-end DTI = (housing costs ÷ gross monthly income) × 100. Back-end DTI = (all monthly debts including housing ÷ gross monthly income) × 100. For example: $2,000 housing + $500 car payment + $200 student loans = $2,700 total debt. $2,700 ÷ $8,000 gross income = 33.75% back-end DTI.

Q: What counts as debt in a DTI calculation?

Monthly debt payments that count toward DTI include: mortgage or rent, car loans, student loans, minimum credit card payments, personal loans, child support or alimony, and any other installment loans. Utilities, insurance, groceries, and other living expenses are NOT included in DTI calculations.

Q: Can I qualify for a mortgage with a high DTI?

Possibly. FHA loans allow DTI up to 50% with compensating factors like a large down payment (10%+), significant cash reserves (3+ months PITI), or excellent credit (720+). Some conventional lenders make exceptions for high-earning borrowers with strong assets. However, a high DTI increases your mortgage rate and reduces your loan options.

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Debt-to-Income Ratio Calculator

Instantly calculate your front-end and back-end DTI ratio and find out if you qualify for a conventional, FHA, or VA mortgage.

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DTI Calculator

Front-end & back-end ratios for mortgage qualification

Monthly Gross Income ($) Before taxes and deductions

Monthly Mortgage / Rent ($) PITI: principal, interest, taxes, insurance

Car Payments ($)

Student Loans ($)

Credit Cards (min. payment) ($)

Other Monthly Debts ($)

Your DTI Results

Data: ESTIMATE SEEK EXPERT ADVICE LAST UPDATED Apr 2026

Front-End DTI

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Back-End DTI

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Total Monthly Debts

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Max Mortgage (conv.)

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Loan Qualification Status

Conventional (28% / 43%) —

FHA (31% / 43%) —

VA (41% back-end) —

Available Monthly for New Mortgage —

How DTI Ratio Works

Your Debt-to-Income (DTI) ratio is one of the most important factors lenders use to evaluate mortgage applications.

Front-End DTI

Housing costs only (mortgage, taxes, insurance) ÷ gross income. Conventional limit: 28%

Back-End DTI

All monthly debt payments ÷ gross income. Conventional limit: 43%

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Financial estimates only — not professional advice. Results are calculated projections based on your inputs. DTI results are estimates based on your inputs and standard lender guidelines. Actual qualification depends on credit score, assets, loan type, and individual lender policies. Real estate investments involve risk. Consult a licensed financial advisor, CPA, or real estate attorney before making investment decisions. Full disclaimer →

Frequently Asked Questions

What is a good DTI ratio for a mortgage? +

Most lenders prefer a back-end DTI below 36%. Conventional loans allow up to 43%, and FHA loans can accept up to 50% in some cases with compensating factors. The lower your DTI, the better your rate and terms.

How do I lower my DTI ratio? +

You can lower DTI by increasing income (new job, side income, bonus), paying down debts before applying, or choosing a less expensive property. Avoid opening new credit lines before applying for a mortgage.

Does DTI affect my interest rate? +

Yes. A high DTI signals more financial risk to lenders, which can result in a higher interest rate or outright loan denial. DTI below 36% typically qualifies for the best rates.