DayCents

Mortgages

Debt-to-Income Ratio Calculator

Your debt-to-income ratio is the single number that most decides how big a mortgage you'll qualify for. Enter your gross monthly income and debts to see your front-end and back-end DTI, whether you clear the 36% and 43% thresholds lenders watch, and exactly how much monthly-debt room you have left.

Pre-tax income — salary plus any steady side income.

Rent or full mortgage payment (principal, interest, taxes, insurance, HOA).

Car loans, student loans, minimum credit-card payments, personal loans.

Your debt-to-income ratio

32.5%

Comfortable — at or below the 36% most lenders want for conventional loans.

Housing ratio (front-end)
25%
Total monthly debt
$2,600
Room before 36%
$280

Extra monthly debt you could add and still sit at 36%.

Max total debt at 36%
$2,880

How this calculator works

Front-end ratio = housing payment ÷ gross monthly income. Back-end ratio = (housing + all other monthly debt) ÷ gross monthly income. "Room before 36%" is 36% of your income minus your current total debt.

The 28/36 and 43% thresholds are common industry guidelines, not universal rules — individual lenders and loan programs set their own limits and weigh credit score, reserves, and down payment alongside DTI. This is an educational estimate, not a lending decision.

Try an example

Frequently asked questions

What is a good debt-to-income ratio?

Lenders generally like to see a back-end DTI (all debt) at or below 36%, and a front-end DTI (housing only) at or below 28% — the classic "28/36 rule." Many mortgage programs will approve up to 43%, and some FHA loans stretch to 50% with strong credit and reserves, but lower is always safer and cheaper.

What's the difference between front-end and back-end DTI?

Front-end DTI counts only your housing payment against gross income. Back-end DTI adds every other monthly debt — car, student, and personal loans plus minimum credit-card payments. Lenders weigh the back-end ratio most because it reflects your total obligations.

Does DTI use gross or net income?

Gross — your income before taxes and deductions. That's why the payment you qualify for on paper can feel higher than what fits your take-home budget. Run our Take-Home Pay calculator to see the number that actually lands in your account.

Which debts count toward DTI?

Recurring monthly obligations that show on your credit report: mortgage or rent, car loans, student loans, personal loans, and minimum credit-card payments. Utilities, groceries, insurance, and streaming subscriptions are not counted — only debt.

How can I lower my DTI?

Two levers: reduce monthly debt (pay off a card or car loan, or refinance to a lower payment) or raise gross income. Even eliminating one small payment can move you under a threshold. Avoid taking on new debt in the months before a mortgage application.

Disclaimer: DayCents provides this calculator for educational purposes only. Results are estimates based on your inputs and the stated assumptions — they are not financial advice, a quote, or an offer of credit. Consult a qualified financial professional before making major money decisions.