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Is 43% DTI still the golden rule for mortgage approval?

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Daria_K
Joined:
27.08.2022
Posts: 567
Topic Starter
10.01.2025 09:37
I'm currently in the process of getting pre-approved for my first home and I'm seeing a lot of conflicting information online regarding debt-to-income ratios. Some sources say lenders strictly want to see 36% or lower, while others claim 43% or even higher is perfectly fine depending on your credit score. I have a decent down payment saved up, but I don't want to overextend myself if it's going to make my monthly payments feel suffocating. Does anyone have recent experience with what lenders are actually looking for in this current market? I'd love to hear some realistic numbers from people who have gone through this process recently.
15 replies in this topic
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new_here
Joined:
14.01.2020
Posts: 428
10.05.2025 02:56
The 43% number is basically a relic of the old Qualified Mortgage rules. Most lenders today look at the whole picture, specifically your residual income and cash reserves.
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Yana_P
Joined:
13.05.2024
Posts: 1892
12.06.2025 07:44
I just closed last month and my DTI was sitting right at 45%. My loan officer told me that as long as my credit score was above 740, it wasn't a dealbreaker at all.
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Sophia_G
Joined:
17.02.2021
Posts: 352
30.06.2025 02:29
In reply to a previous post
To the OP, just because they *might* approve you for 45% doesn't mean you should take it. I did that and I regret it; being house poor is no joke when unexpected repairs pop up.
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Kevin_M
Joined:
16.09.2022
Posts: 2494
07.07.2025 18:05
It really depends on the loan program. FHA is much more lenient with higher DTI compared to conventional loans.
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regular_user
Joined:
20.07.2023
Posts: 832
14.08.2025 22:48
In reply to a previous post
I second what the person above said about FHA. I got approved with a 48% DTI last year because I had a massive down payment and a clean credit history.
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demian_l
Joined:
29.06.2023
Posts: 1258
07.10.2025 13:45
My lender told me they prefer keeping the housing payment alone under 28% of gross income. Even if your total DTI is 43%, if your housing ratio is way higher, they might get nervous.
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Steve_W
Joined:
24.08.2023
Posts: 1280
08.10.2025 00:17
Does anyone know if student loans count differently now? My DTI looks high because of my grad school debt, even though the monthly payment is low.
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Amelie_Z
Joined:
11.03.2025
Posts: 2263
08.11.2025 19:31
In reply to a previous post
Yes, they usually use 0.5% or 1% of your total balance as the monthly payment calculation if you're on an income-driven plan, which really hurts your DTI.
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watcher_x
Joined:
17.05.2023
Posts: 2431
27.11.2025 21:26
Don't stress too much about the 'golden rule.' If you have a solid credit score and a good amount of assets in the bank, lenders are much more flexible than the articles online suggest.
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Vic_S
Joined:
04.08.2020
Posts: 1247
30.11.2025 06:20
In reply to a previous post
I tried to push for 45% DTI last year and got denied by two big banks. They were very strict about the 43% cap for my specific income bracket. It really varies by lender.
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Yani_Z
Joined:
12.11.2023
Posts: 1292
02.01.2026 12:12
In reply to a previous post
Shop around! I went to three different lenders. One said no, one said maybe, and the third one approved me easily because they looked at my total net worth instead of just the debt ratio.
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robert_d
Joined:
05.01.2026
Posts: 1717
09.02.2026 00:39
Honestly, 36% is the 'ideal' for comfort, but 43% is the industry standard for approval. Anything over 45% usually requires compensating factors.
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Kras_T
Joined:
15.09.2021
Posts: 982
20.02.2026 20:48
In reply to a previous post
I wouldn't aim for the max. I calculated my budget to keep my DTI at 30% and it was the best decision I ever made. The peace of mind is worth more than a slightly bigger house.
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Igor_Tech
Joined:
01.11.2022
Posts: 64
03.03.2026 02:50
Make sure you factor in taxes and insurance. Sometimes the lender's DTI calculation doesn't include the 'hidden' costs of homeownership like HOA fees or maintenance.
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WhiteCrow
Joined:
22.12.2025
Posts: 1230
27.03.2026 21:25
In reply to a previous post
Great advice on the HOA fees. My lender didn't even ask about those until the very end, and it almost pushed me over the limit.

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