Debt-to-Income Calculator
Calculate your debt-to-income ratio for mortgage and loan qualification. Analyze your debt burden, understand lender requirements, and get recommendations to improve your loan approval chances.
Monthly Income
Monthly Debt Payments
Debt-to-Income Analysis
DTI Ratio
Total Monthly Income
Total Monthly Debt
Qualification Status
DTI Breakdown
DTI Guidelines
How the Debt-to-Income Calculator Works
Enter Monthly Income
Input your gross monthly income (before taxes) and any additional income sources like rental income, investments, or alimony.
Add Monthly Debt Payments
Enter all your monthly debt obligations including mortgage/rent, credit cards, car loans, student loans, and other recurring debt payments.
Calculate DTI Ratio
The calculator computes your debt-to-income ratio by dividing total monthly debt payments by total monthly income, expressed as a percentage.
Review Qualification Status
Get instant feedback on your loan qualification prospects and recommendations for improving your DTI ratio if needed.
Frequently Asked Questions
A DTI ratio of 36% or lower is generally considered good. For mortgages, most lenders prefer a DTI of 43% or less, though some may accept up to 50% with strong credit. A DTI below 20% is excellent and indicates very manageable debt levels.
DTI includes all monthly debt obligations: mortgage/rent, credit card minimum payments, car loans, student loans, personal loans, alimony, and child support. It does not include utilities, groceries, insurance premiums, or other living expenses.
You can improve your DTI by: 1) Paying down existing debt, 2) Increasing your income through raises or side jobs, 3) Avoiding new debt, 4) Making extra payments on high-interest debt, 5) Consolidating debt at lower interest rates, or 6) Considering debt settlement for overwhelming debt.
Lenders typically use gross monthly income (before taxes and deductions) to calculate DTI ratios. This includes salary, bonuses, commissions, rental income, alimony, and other verifiable income sources. Some lenders may consider net income in specific circumstances.
If your DTI is too high, consider: paying down debt before applying, increasing your down payment, finding a co-signer, looking for lenders with more flexible requirements, or waiting to improve your financial situation. Some government loan programs have higher DTI limits.