Borrower Financial Worksheet
Enter your income and expenses. See your front-end and back-end DTI, compare them with loan-origination thresholds, and review a historical modification benchmark for context.
What is your total household monthly income?
Enter gross (before-tax) monthly amounts. Include all borrowers on the mortgage.
What are your monthly housing costs?
These make up your front-end DTI (housing-only ratio).
What other monthly debt payments do you make?
Include minimum required payments only. Do not include utilities, groceries, or other living expenses.
Why DTI Matters
Your debt-to-income ratio is one measure a servicer may consider during a loss mitigation review. The applicable program, investor rules, hardship details, and complete financial package determine how that measure is used.
Lenders look at two DTI ratios. Your front-end DTI (housing costs divided by gross income) shows how much of your paycheck goes to keeping a roof over your head. Your back-end DTI (all debts divided by gross income) shows total debt burden.
The national mortgage debt service ratio was 5.8% in Q2 2026. The American Distress Index uses the total household debt service ratio. Both are national totals that include renters, so a personal DTI above them does not by itself mean you are worse off than a typical homeowner.
DTI Thresholds by Loan Program
Different loan programs have different DTI ratios for origination. These reference points are not modification eligibility rules:
| Program | Max Front-End | Max Back-End | Notes |
|---|---|---|---|
| Conventional (QM) | 28% | 43-45% | Qualified Mortgage rule; some exceptions up to 50% |
| FHA | 31% | 43-50% | Manual underwriting: 31/43 with a 500-579 score; up to 40/50 with a 580+ score and two compensating factors (cash reserves, residual income and others) |
| VA | — | 41%* | No hard cap; uses residual income test instead |
| USDA | 29% | 41% | Manual underwriting allows exceptions with compensating factors |
Historical modification context: Treasury's March 2014 Making Home Affordable performance report describes the HAMP Tier 1 waterfall as targeting a front-end DTI of 31%. Treasury's MHA program history says MHA expired on December 31, 2016; current servicer and investor programs use their own rules.
Frequently Asked Questions
Is my financial information collected or shared?
Your entries may be sent to American Default Research so we can understand where people stop, improve the tool, and help when someone asks to be contacted. We do not sell your information.
What is a debt-to-income ratio?
Your DTI ratio compares your total monthly debt payments to your gross monthly income. Lenders use it to decide whether you can handle more debt. There are two types: front-end DTI (housing costs only) and back-end DTI (all monthly debts including housing).
What DTI do I need for a loan modification?
The federal HAMP Tier 1 waterfall historically targeted a front-end DTI of 31%. MHA expired on December 31, 2016; current servicer and investor programs use their own rules. A HUD-approved housing counselor can help you understand the requirements that apply to your loan.
How is DTI different from the national debt service ratio?
Your personal DTI uses your own debts and your gross (before-tax) income. The national mortgage debt service ratio (5.8% in Q2 2026) divides all scheduled mortgage payments by the after-tax income of everyone in the country, renters included, so it runs far below what a typical mortgage holder pays. The two are not a like-for-like comparison; lenders judge your DTI against their own program limits.
Should I bring this worksheet to my servicer?
A servicer may request a financial worksheet or income-and-expense statement during loss mitigation review. This tool provides common DTI calculations, but it does not replace your servicer's forms or determine eligibility. Ask which documents and calculations your servicer requires.