Debt to Income Ratio

The speaker reviews a common mortgage qualification ratio, the debt to income ratio.  He mentions that debt to income ratios measure your debts in terms of your gross income.  Different loan programs require different DTI ratios to qualify.  Many loan programs follow a 29/41 ratio qualifier.  Thi

Your debt to income ratio is simply the percent of your gross income that goes toward paying bills or other debts.  This is one of the most important indicators that banks use to qualify you for loans.  There are two forms of the debt to income ratio that are looked at; they are called the front raio and the back ratio.