Calculate your back-end ratio to see if you qualify for a mortgage.
$
$
$
$
$
$
Your Debt-to-Income Ratio
0.00%
Loading…
Total Monthly Income:$0.00
Total Monthly Debt:$0.00
Calculated based on standard lending practices.
Understanding Your Debt-to-Income (DTI) Ratio
Your Debt-to-Income (DTI) ratio is one of the most critical metrics lenders use to assess your financial health and ability to repay a loan. Unlike your credit score, which measures your credit history, your DTI measures your monthly cash flow capacity.
When applying for a mortgage, lenders typically look at two types of ratios: the front-end ratio (housing costs only) and the back-end ratio (housing costs plus all other debts). This calculator focuses on the back-end ratio, which provides the most comprehensive view of your financial obligations.
Most conventional loans require a DTI of 43% or lower. However, strict lenders may prefer 36% or lower, while FHA loans can sometimes accommodate ratios up to 50% with strong compensating factors.
What Counts as "Debt"?
When using this DTI calculator, ensure you include the following recurring monthly obligations:
Housing Costs: Your potential future mortgage principal, interest, taxes, insurance (PITI), and HOA fees. If you are renting, include your rent.
Auto Loans: Monthly lease or loan payments.
Student Loans: Required minimum monthly payments.
Credit Cards: The minimum monthly payment due (not the total balance).
Legal Obligations: Alimony or child support payments.
Note: Generally, daily living expenses like groceries, utilities, and entertainment are NOT included in the DTI calculation.
Interpreting Your Results
35% or Less (Excellent): You are viewed as a low-risk borrower. You have plenty of disposable income relative to your debt.
36% to 43% (Good/Manageable): You likely qualify for most mortgages, though you may not get the absolute best interest rates if you are at the upper end of this range.
44% to 49% (High Risk): You may struggle to find financing for a conventional loan. You might need to look into FHA loans or work on paying down debt before applying.
50% or Higher (Critical): At this level, taking on a mortgage is financially dangerous, and most lenders will decline the application. It is highly recommended to reduce debt before seeking a home loan.
Example Calculation
Let's say Jane earns $6,000 per month before taxes. Her debts are:
Projected Mortgage: $1,800
Car Payment: $400
Student Loans: $300
Credit Cards: $100
Her total monthly debt is $2,600. Her DTI calculation is ($2,600 / $6,000) = 43.3%. This places her right at the limit for many conventional loans.
function calculateDTI() {
// 1. Get input values using standard JS
var incomeInput = document.getElementById('dti_gross_income');
var housingInput = document.getElementById('dti_mortgage_rent');
var carInput = document.getElementById('dti_car_loans');
var studentInput = document.getElementById('dti_student_loans');
var ccInput = document.getElementById('dti_credit_cards');
var otherInput = document.getElementById('dti_other_debt');
var resultBox = document.getElementById('dtiResult');
var dtiDisplay = document.getElementById('dtiPercentageDisplay');
var badge = document.getElementById('dtiStatusBadge');
var totalIncDisplay = document.getElementById('displayTotalIncome');
var totalDebtDisplay = document.getElementById('displayTotalDebt');
var recommendDisplay = document.getElementById('dtiRecommendation');
// 2. Parse values (handle empty inputs as 0)
var income = parseFloat(incomeInput.value);
var housing = parseFloat(housingInput.value) || 0;
var car = parseFloat(carInput.value) || 0;
var student = parseFloat(studentInput.value) || 0;
var cc = parseFloat(ccInput.value) || 0;
var other = parseFloat(otherInput.value) || 0;
// 3. Validation
if (!income || income <= 0) {
alert("Please enter a valid monthly gross income greater than 0.");
return;
}
// 4. Calculate Total Debt and DTI
var totalDebt = housing + car + student + cc + other;
var dtiRatio = (totalDebt / income) * 100;
// 5. Update Result UI
resultBox.style.display = 'block';
dtiDisplay.innerHTML = dtiRatio.toFixed(2) + "%";
// Format currency outputs
totalIncDisplay.innerHTML = "$" + income.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
totalDebtDisplay.innerHTML = "$" + totalDebt.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
// 6. Determine Status and Colors
badge.className = "dti-badge"; // reset classes
if (dtiRatio <= 35) {
badge.innerHTML = "Excellent";
badge.classList.add("badge-good");
dtiDisplay.style.color = "#2ecc71";
recommendDisplay.innerHTML = "Lenders view this ratio as very low risk. You are in a great position to apply.";
} else if (dtiRatio <= 43) {
badge.innerHTML = "Manageable";
badge.classList.add("badge-warn");
dtiDisplay.style.color = "#f39c12";
recommendDisplay.innerHTML = "You likely qualify for most loans, but ensure your credit score is strong.";
} else if (dtiRatio <= 49) {
badge.innerHTML = "High Risk";
badge.classList.add("badge-bad");
dtiDisplay.style.color = "#e74c3c";
recommendDisplay.innerHTML = "You may face difficulty getting approved for conventional loans. Consider FHA.";
} else {
badge.innerHTML = "Critical";
badge.classList.add("badge-bad");
dtiDisplay.style.color = "#c0392b";
recommendDisplay.innerHTML = "It is highly recommended to lower your debt obligations before applying.";
}
}