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Debt-to-Income (DTI) Calculator

Calculate your DTI ratio to understand your borrowing capacity for US and UK lenders.

Monthly Income

Monthly Debt Payments

Your DTI Ratio 0.0%
Lender Verdict Good (Qualified)
Total Monthly Debt $0.00

Notice: This calculation is for estimation purposes only. Lenders have different DTI requirements based on loan type and credit profile. This is not financial advice.

What's Next?

Mortgage Planning

See how your DTI impacts your home loan approval.

Reduce Your DTI

Learn tips to lower your ratio and unlock better rates.

Loan Calculator

Estimate monthly payments for personal or auto loans.

Why DTI Matters

Your Debt-to-Income (DTI) ratio is a key financial metric that lenders use to determine your ability to manage monthly payments and repay debts. A lower DTI indicates a good balance between debt and income, making you a more attractive borrower for mortgages and personal loans.

Usage Example: Mortgage Qualification

If your gross monthly income is $6,000 and your total monthly debts (including your future mortgage) equal $2,160, your DTI is 36%. This is often considered the "gold standard" for mortgage qualification. If your debt rises to $2,580, your DTI would be 43%, which is the maximum limit for many conventional loans.

Frequently Asked Questions

What is a "good" debt-to-income ratio? +
Generally, a DTI of 36% or less is considered excellent. Most lenders require a DTI of 43% or lower to qualify for a conventional mortgage, although some programs allow up to 50% with a high credit score.
How do I calculate my DTI? +
Add up all your monthly debt payments (rent/mortgage, car loans, student loans, credit card minimums) and divide that total by your gross monthly income (your pay before taxes). Multiply by 100 to get the percentage.
Does DTI affect my credit score? +
No, your DTI ratio is not part of your credit score calculation. However, the amount of debt you owe (credit utilization) does affect your score, and lenders look at both your score and your DTI when making lending decisions.
How can I lower my DTI ratio? +
You can lower your DTI by either increasing your gross monthly income or decreasing your monthly debt payments. Paying off a small loan entirely or reducing credit card balances are the fastest ways to improve your ratio.