Analyze your financial health and loan eligibility
Your Debt-to-Income Ratio is:
0%
How to Calculate Your Debt-to-Income Ratio
The Debt-to-Income (DTI) ratio is a personal finance measure that compares an individual's monthly debt payment to their monthly gross income. Lenders, especially mortgage providers, use this percentage to measure your ability to manage monthly payments and repay borrowed money.
The DTI Formula
DTI Ratio = (Total Monthly Debt Payments / Gross Monthly Income) x 100
A Realistic Example
Suppose you have the following monthly financial obligations:
Mortgage: $1,200
Car Loan: $300
Credit Card Minimum: $100
Total Debt: $1,600
If your Gross Monthly Income (before taxes are taken out) is $5,000, your calculation would look like this:
$1,600 รท $5,000 = 0.32 (or 32%)
What Your Score Means
DTI Ratio
Lender Perspective
35% or Less
Excellent: You have a healthy balance of debt and income.
36% – 43%
Good: Most lenders will still approve loans, but you are approaching limits.
44% – 50%
Concern: You may find it difficult to qualify for new credit lines.
50% or More
Critical: Your debt obligations may severely limit your financial flexibility.
function calculateDTIRatio() {
var housing = parseFloat(document.getElementById('dti_housing').value) || 0;
var car = parseFloat(document.getElementById('dti_car').value) || 0;
var student = parseFloat(document.getElementById('dti_student').value) || 0;
var credit = parseFloat(document.getElementById('dti_credit').value) || 0;
var other = parseFloat(document.getElementById('dti_other').value) || 0;
var income = parseFloat(document.getElementById('dti_income').value) || 0;
var resultContainer = document.getElementById('dti_result_container');
var percentageDisplay = document.getElementById('dti_percentage');
var statusDisplay = document.getElementById('dti_status');
var messageDisplay = document.getElementById('dti_message');
if (income <= 0) {
alert("Please enter a valid gross monthly income greater than zero.");
return;
}
var totalDebt = housing + car + student + credit + other;
var dtiRatio = (totalDebt / income) * 100;
var finalDTI = dtiRatio.toFixed(1);
percentageDisplay.innerHTML = finalDTI + "%";
resultContainer.style.display = "block";
if (dtiRatio <= 35) {
resultContainer.style.backgroundColor = "#e8f5e9";
statusDisplay.style.color = "#2e7d32";
statusDisplay.innerHTML = "Excellent Financial Health";
messageDisplay.innerHTML = "Your DTI is within a safe range. Lenders generally view this favorably for most loan types.";
} else if (dtiRatio <= 43) {
resultContainer.style.backgroundColor = "#fffde7";
statusDisplay.style.color = "#f9a825";
statusDisplay.innerHTML = "Manageable Debt Level";
messageDisplay.innerHTML = "This is the 'standard' limit for many mortgage lenders. You are in a good position but monitor your spending.";
} else if (dtiRatio <= 50) {
resultContainer.style.backgroundColor = "#fff3e0";
statusDisplay.style.color = "#ef6c00";
statusDisplay.innerHTML = "High Debt Burden";
messageDisplay.innerHTML = "You may struggle to qualify for additional loans. Consider paying down high-interest balances.";
} else {
resultContainer.style.backgroundColor = "#ffebee";
statusDisplay.style.color = "#c62828";
statusDisplay.innerHTML = "Critical Debt Level";
messageDisplay.innerHTML = "Your debt significantly exceeds half of your gross income. Financial counseling or aggressive repayment is recommended.";
}
resultContainer.scrollIntoView({ behavior: 'smooth', block: 'nearest' });
}