Debt-to-Income (DTI) Ratio Calculator
Calculate your debt-to-income ratio to see how lenders view your financial health and borrowing capacity.
DTI Ratio
44%
Assessment: Needs Improvement
Total Monthly Debt
$2,200
Front-End Ratio
30%
DTI Category Ranges
DTI Ratio Gauge
Frequently Asked Questions
What is a good debt-to-income ratio?
A DTI ratio of 28% or less is considered excellent. Most lenders prefer a DTI below 36%, with no more than 28% going toward housing (front-end ratio). A DTI above 43% may make it difficult to qualify for new credit.
How is front-end ratio different from back-end ratio?
The front-end ratio only includes housing costs (rent/mortgage) divided by gross income. The back-end ratio (total DTI) includes all monthly debt payments. Lenders evaluate both when considering loan applications.
How can I improve my DTI ratio?
You can improve your DTI by increasing your income, paying down existing debts, avoiding taking on new debt, or refinancing high-interest loans to lower monthly payments.
This calculator is for educational and estimation purposes only. It does not constitute financial or credit counseling advice.