Debt-to-income ratio (Ofer Abarbanel Online Library)

In the consumer mortgage industry, debt income ratio (often abbreviated DTI) is the percentage of a consumer’s monthly gross income that goes toward paying debts. (Speaking precisely, DTIs often cover more than just debts; they can include principal, taxes, fees, and insurance premiums as well. Nevertheless, the term is a set phrase that serves as a convenient, well-understood shorthand.) There are two main kinds of DTI, as discussed below..

Continue reading “Debt-to-income ratio (Ofer Abarbanel Online Library)”