Mortgage Minute 30: What is DTI?

Mortgage Minute 30: What is DTI?

Good morning, Jodie Tanga here with your Mortgage Minute. Today's topic, what is DTI?

DTI stands for debt to income ratio. It is the amount of debt you have compared to your income coming in monthly. Debt to income ratio is one of the most common qualification hurdles for purchase or refinance.

A quick way to look at things would be to remember the number 45%. If you have $4,500 per month gross income, your total payments including a mortgage would need to be 45 percent of $4,500 So $2,025 is the total monthly payments including a new mortgage and all existing debt you would qualify for.

Getting an understanding of your debt to income ratio and mapping out a preparation plan for purchasing can never happen too early.

For more information on DTI, call us at the Tanga Mortgage Team powered by Pacific Rim Mortgage at (808) 223-2761 or visit us on the web at

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