Loan basics
Debt-to-income (DTI)
Also known as: DTI, debt to income, debt-to-income ratio
How much of your gross monthly income goes to debt payments, expressed as a percent.
Debt-to-income (DTI) compares monthly debt obligations to gross monthly income. Lenders use DTI as one underwriting factor; lower ratios generally mean more room in the budget. FinanceFlow’s affordability calculator uses educational front-end and back-end DTI targets (often illustrated around 28% and 36%) that you can edit-not a lender’s actual limit or a pre-approval.
See also
Definitions are for general education. Loan products, insurance, and taxes vary by lender, location, and your situation. FinanceFlow calculators produce estimates only and are not a lender quote or professional advice.