Skip To Content
    • Home
    • Blog
    • Q: What Is a Debt-to-Income Ratio?

    Q: What Is a Debt-to-Income Ratio?

    Your debt-to-income ratio is an important factor in getting approved for a mortgage.

    Today J.C. Diaz from Movement Mortgage joined us to discuss debt-to-income ratios—one of the most important factors in getting pre-approved for a mortgage. This ratio is simply a calculation that determines how much people can afford by examining how much debt a person has compared to their total income. Your ratio is calculated on a gross basis, meaning that everything that would show up on your credit report is factored into it. Using this information, your lender can estimate how much of a monthly payment you could afford given how much you qualify for. To learn more about how debt-to-income ratios are used in mortgage approval, watch the short video above.

    If you have any questions about today’s topic, don’t hesitate to reach out to us. We’d love to hear from you.

    Trackback from your site.

    Leave a Reply

    Testimonials

    Bought a Single Family home in 2019 in West Des Moines, IA. Tim helped my wife and I find our first home back in 2009. He got to know us and figured out what we were looking for, and he found the perfect house for us. Over the next few years he helped us buy an apartment building and two other houses, and last year when we decided to sell one of the houses  he made the selling process easy and fast. The things I like best about working with Tim are his deep understanding of both the local hou…
    dctaylor