google bot detected Debt To Income Ratio | Real Estate Glossary |

Debt To Income Ratio

Definition of "Debt-to-income ratio"

Khalil Hachem
  Coldwell Banker Preferred

Ratio of monthly debt payments to monthly gross income. Lenders use a housing debt-to-income (DTI) ratio (house payment divided by monthly income) and a total DTI ratio (total debt payment including the house payment divided by monthly income) to determine whether a borrowers income qualifies a buyer for a mortgage.

Related Real Estate Glossary terms

Related Real Estate FAQ