Fixed vs Adjustable-Rate Mortgage: Which One Fits You?
How fixed and adjustable-rate mortgages work, what rate caps mean, and a simple way to decide based on how long you plan to keep the loan.
Read the guideDebt-to-Income (DTI) Calculator
Measure how much of your monthly income goes to debt payments.
Front-End DTI0%
Back-End DTI0%
Total Monthly Debt$0
Qualification Note—
Reading your debt-to-income ratio
Your debt-to-income ratio (DTI) compares your monthly debt payments with your gross monthly income. Lenders use it to judge whether you can take on a new loan. This calculator gives both versions they look at: the front-end ratio for housing alone and the back-end ratio for all debts.
Enter income before tax. For “other monthly debts”, use required minimum payments on car loans, student loans, credit cards and personal loans, not everyday bills such as food or utilities.
Worked example with the default values
With $6,500 of gross monthly income, an $1,800 housing payment and $650 of other debt payments:
- Front-end DTI: $1,800 ÷ $6,500 = 27.7%
- Back-end DTI: $2,450 ÷ $6,500 = 37.7%
That back-end ratio is just above the common 36% benchmark. To get under 36% with the same income and other debts, the housing payment would need to be about $1,690 or less.
How the result is labelled
- Strong (36% or less): within the range most lenders prefer.
- Possible (36% to 43%): often approvable with good credit, savings or a larger down payment.
- High (above 43%): harder to approve and likely to feel tight in your budget.
- These labels are general guides; each loan program sets its own limits.
Want the full explanation? Read our guide: Debt-to-Income Ratio: What Lenders Look For.
How to use the Debt-to-Income (DTI) Calculator
- Enter current balances, rates, and payment assumptions.
- Compare the baseline payoff path with an overpayment scenario.
- Use the result to choose a repayment plan you can actually maintain.
Debt-to-income ratio formula
DTI = monthly debt payments ÷ gross monthly income × 100
- Monthly debt payments: Required debt obligations each month
- Gross monthly income: Income before tax and deductions
Lenders often use DTI as one affordability signal. Lower ratios generally indicate more room in the budget.
Quick planning notes for the Debt-to-Income (DTI) Calculator
Measure debt-to-income ratio for mortgage qualification. Start with a realistic baseline, then change one input at a time to see how the result moves. That makes it easier to compare scenarios and spot the trade-offs that matter most.
Debt payoff notes
- Extra monthly payments usually reduce total interest meaningfully even when the payment increase looks small.
- Prioritize high-interest balances first if your overall goal is to minimize cost.
- Check whether consolidating debt changes the payoff timeline before committing to a new loan.
Keep in mind
These results are designed for educational planning. Real-world figures can change based on official rates, lender fees, tax treatment, insurance, and personal circumstances.
Frequently asked questions
Why is DTI based on gross income?
It is the standard lenders use because it does not depend on individual tax or benefit choices. Your real budget runs on take-home pay, so a ratio that passes a lender’s test can still feel tight.
What is the quickest way to lower DTI?
Paying off a debt with a large monthly payment, such as a car loan near its end, usually lowers DTI more than paying down a large balance with a small minimum.
Does rent count?
When you apply for a mortgage, the new housing payment replaces your rent. For other loans, some lenders include rent in the ratio.
Does DTI affect my credit score?
No. Credit scores do not include income, but the debts behind your DTI and how much of your credit limits you use do affect your score.
Guides on this topic
Plain-English explanations to help you read the result above.
Debt-to-Income Ratio: What Lenders Look For
What front-end and back-end DTI mean, how to calculate yours, the ranges lenders commonly use, and practical ways to bring the ratio down.
Read the guideRelated calculators
Continue with the next tools people often use after this calculation.
Debt Payoff
Estimate payoff timeline and interest for extra monthly payments.
OpenCredit Card Payoff Calculator
Estimate payoff time and interest saved with extra payments.
OpenIncome Tax Calculator
Estimate annual income tax using a flat effective rate.
OpenIncome Tax / NI Calculator
Estimate UK income tax, National Insurance, and net pay.
OpenEMI Calculator
Calculate monthly EMI for loans and mortgages.
OpenSIP Calculator
Plan systematic investment contributions and future value.
Open