Free Tool · Loan Qualification

Debt-to-Income Ratio Calculator

Calculate your DTI ratio instantly and see whether you may qualify for a mortgage, personal loan, or auto loan — and what you can do to improve it.

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Your DTI Results

Enter your income and debt payments to calculate your DTI ratio.

What Is Debt-to-Income Ratio?

Your debt-to-income ratio (DTI) is the percentage of your gross monthly income that goes toward paying debts. Lenders use it to assess your ability to manage monthly payments and repay borrowed money. It is one of the most important factors in loan approval decisions.

DTI Thresholds at a Glance

Below 20%: Excellent — qualifies for the best rates. 20–35%: Good — most lenders approve. 36–43%: Acceptable — some lenders may restrict options. 44–50%: High — limited options, higher rates. Above 50%: Very high — most lenders will decline.

How to Lower Your DTI

The two levers are increasing income and reducing debt payments. Paying down high-balance credit cards reduces your minimum payment obligations. Consolidating multiple debts into a single lower-payment loan can also reduce your total monthly debt obligations, improving your DTI before applying for a mortgage or major loan.

Frequently Asked Questions

What DTI do I need for a mortgage?
Most conventional mortgage lenders require a DTI of 43% or lower. FHA loans may allow up to 50% with compensating factors such as a large down payment or strong credit score. The lower your DTI, the better your rate.
Does rent count in DTI?
Yes — your current rent or mortgage payment is included in your DTI calculation. When applying for a mortgage, lenders use the proposed new mortgage payment (not your current rent) in the calculation.
Is DTI the same as credit utilization?
No. Credit utilization measures how much of your available revolving credit you are using and affects your credit score. DTI measures your monthly debt payments relative to income and is used by lenders during underwriting. Both matter, but they are separate metrics.

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