Debt-to-Income (DTI) Ratio Calculator

See your front-end and back-end DTI and how they compare to lender guidelines

Your Details

$

Gross (pre-tax) income before deductions.

$

Proposed or current rent / principal, interest, taxes & insurance.

$

Minimums on auto, credit cards, student & personal loans.

Your Debt-to-Income Ratios

Front-End DTI (Housing)

22.5%

Housing ÷ gross income

Back-End DTI (Total Debt)

28.1%

All debt ÷ gross income

Within conventional comfort zone (back-end DTI ≤ 36%).
Gross Monthly Income$8,000
Total Monthly Debt$2,250
Max Housing @ 28% Rule$2,240
Max Total Debt @ 36% Rule$2,880
Max Total Debt @ 43% CFPB QM$3,440

How Lenders Read Your DTI

ThresholdMeaning
Front-end ≤ 28%Conventional housing-payment comfort guideline.
Back-end ≤ 36%Conventional total-debt comfort guideline.
Back-end ≤ 43%CFPB Qualified Mortgage general limit (ability-to-repay).
FHA 31% / 43%FHA front-end / back-end ceilings for most borrowers.

How the DTI Ratio Calculator Works

Two Ratios Lenders Actually Use

The calculator applies the standard US underwriting definitions:

Front-End DTI = Monthly Housing Payment ÷ Gross Monthly Income
Back-End DTI = (Housing + Other Debts) ÷ Gross Monthly Income

Both results are percentages of your gross (pre-tax) monthly income. A lower number means more breathing room in your budget and a stronger mortgage application.

The 28/36 Rule and the 43% CFPB Limit

The classic 28/36 rule keeps housing at or below 28% of gross income and total debt at or below 36%. The CFPB Qualified Mortgage ability-to-repay framework generally caps the back-end ratio at 43% for most loans. FHA underwriting allows a front-end ratio up to 31% and a back-end ratio up to 43%.

Why DTI Matters More Than Your Rate

Two borrowers with the same credit score can receive very different terms based on DTI alone. A back-end ratio under 36% usually unlocks the smoothest approvals; 36–43% is workable but tighter; above 43% often needs compensating factors or a government-backed program. Use this calculator before you shop, then feed your comfortable housing payment into the mortgage calculator or the affordability calculator to see what it means in dollars.

Educational estimate, not financial advice. DTI thresholds vary by loan program, lender overlay, credit profile, and reserves. This tool does not quote a rate, approve a loan, or predict an approval. Confirm current guidelines with a licensed loan officer or the source agencies.

Official Standards & Authoritative Sources

CFPB

Consumer Financial Protection Bureau — Ability-to-Repay & Qualified Mortgage rule

consumerfinance.gov

FHA

Federal Housing Administration underwriting ratios

hud.gov

Freddie Mac

Federal Home Loan Mortgage Corporation guidance

freddiemac.com

Fannie Mae

Federal National Mortgage Association guidance

fanniemae.com

Frequently Asked Questions

What is a debt-to-income (DTI) ratio?
DTI compares your total monthly debt payments to your gross (pre-tax) monthly income, expressed as a percentage. Lenders calculate two versions: the front-end ratio (your housing payment alone) and the back-end ratio (your housing payment plus all other recurring debts such as auto, credit card, and student loan minimums).
What is a good DTI ratio to buy a house?
For conventional loans the common targets are a front-end ratio at or below 28% and a back-end ratio at or below 36% — the "28/36 rule." The CFPB Qualified Mortgage standard generally caps the back-end ratio at 43%. Many lenders approve above these guidelines with strong credit and reserves, but the rates and requirements get stricter as the ratio climbs.
What counts as "debt" in the back-end DTI?
Include the minimum required monthly payment on every recurring obligation: your mortgage or rent, auto loans, student loans, credit-card minimums, personal loans, and court-ordered payments such as alimony or child support. Lenders use the minimum payment shown on your credit report, not what you happen to pay.
Does DTI use gross or net income?
DTI always uses gross monthly income — your income before taxes and deductions. That is the standard lenders and the CFPB ability-to-repay rule use, which is why your DTI can look higher than the share of your take-home pay that goes to debt.
How can I lower my DTI ratio?
Pay down revolving balances (credit cards reduce minimum payments fastest), avoid taking on new loans before applying, increase your income with a documented second job or raise, or choose a lower monthly housing payment. Lowering the back-end ratio even a few points can move you from a declined file to an approved one or unlock a better rate.
Is the 43% CFPB limit a hard cutoff?
It is the general cap for most Qualified Mortgages, but not an absolute wall. Government-backed FHA, VA, and USDA loans use their own ratio guidelines, and some portfolio or non-QM lenders will go above 43% with compensating factors such as a large down payment, substantial cash reserves, or a very high credit score. This calculator shows the ratio; your lender decides the approval.

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Disclaimer:

All calculations are approximate for planning purposes only. This tool does not provide official financial, legal, or tax advice. All financial decisions should be verified with a qualified mortgage lender or financial advisor.