how EXACTLY would my personal ratio be calculated? what is and is not considered debt? would my current property taxes be considered and if i am tring to do a deal on my own would my wife’s income and/or debt be included…? thanks ,justin
You already partially answered your own question.
Debt to income. Divide the two.
A widely used measure of financial stability, your debt-to-income ratio is calculated by dividing monthly minimum debt payments by monthly gross income.
Some lenders allow up to 50% -55% DTI.
Fannie Mae and Freddie Mac ususally like to see 28%-42% DTI… but other factors may allow higher DTI ratios.
Some lenders have a program called “no ratio” and eliminate your debt ratio all together.
Consult a mortgage professional. Do not try and work up your own debt to income ratio. Lenders do not take your calculations in consideration.