Debt-to-Income (DTI) Ratio Calculator
Calculate your DTI the way lenders do, and see which qualification tier you fall into.
Calculate Your DTI
Include rent/mortgage, car loans, credit card minimums, student loans, and other recurring debt. Don't include groceries or utilities.
How DTI Is Calculated
Worked example: $6,000/month income with $2,200/month in combined debt payments gives a DTI of 36.7% — right at the borderline tier.
What the Tiers Mean
| DTI | Tier |
|---|---|
| 36% or below | Strong |
| 36–43% | Borderline |
| Above 43% | High risk |
These thresholds are common in US mortgage underwriting but vary by lender, loan type, and country.
How to Lower Your DTI
Lowers both DTI and credit utilization at once.
Even a new car payment can push DTI into a worse tier.
A raise or side income improves the ratio from the other direction.
Frequently Asked Questions
What debt-to-income ratio do I need to qualify for a mortgage?
Most conventional lenders look for a DTI of 43% or below, though some programs allow higher with compensating factors.
Does DTI include rent, or only loan payments?
It includes rent or your current mortgage payment, plus all other recurring debt obligations.
Is DTI the same as credit utilization?
No — utilization measures how much of your credit limit you're using. DTI measures how much of your income goes to debt payments.
Does a high DTI hurt my credit score directly?
Not directly — DTI isn't a factor in credit scoring models. But the debt driving a high DTI often affects your score through utilization.