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Monthly Income

What is your total household monthly income?

Enter gross (before-tax) monthly amounts. Include all borrowers on the mortgage.

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Total monthly income $0
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Housing Expenses

What are your monthly housing costs?

These make up your front-end DTI (housing-only ratio).

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Total housing costs (PITI) $0
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Other Monthly Debts

What other monthly debt payments do you make?

Include minimum required payments only. Do not include utilities, groceries, or other living expenses.

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Total other debts $0

Why DTI Matters

Your debt-to-income ratio is the single most important number in a loss mitigation application. It tells your servicer two things: whether your current payment is genuinely unaffordable, and whether a modified payment would be sustainable.

Lenders look at two DTI ratios. Your front-end DTI (housing costs divided by gross income) shows how much of your paycheck goes to keeping a roof over your head. Your back-end DTI (all debts divided by gross income) shows total debt burden.

The national mortgage debt service ratio is currently 5.9% — this is the aggregate figure tracked by the American Distress Index. If your personal front-end DTI is significantly higher, you're carrying more housing cost burden than the typical American household.

DTI Thresholds by Loan Program

Different loan programs have different maximum DTI ratios for origination. These same thresholds often guide modification decisions:

Program Max Front-End Max Back-End Notes
Conventional (QM) 28% 43-45% Qualified Mortgage rule; some exceptions up to 50%
FHA 31% 43-57% Up to 57% with compensating factors (credit score, reserves)
VA 41%* No hard cap; uses residual income test instead
USDA 29% 41% Manual underwriting allows exceptions with compensating factors

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If this affects you, free help is available. Behind on mortgage? · Short sale guide · Bankruptcy guide · Find a housing counselor · Browse the Glossary · HUD-approved housing counselors are free (1-800-569-4287).