Front-End Ratio
Direct definition
The percentage of gross monthly income that goes to housing payments (PITI) only.
Written by the Vabasso Mortgage Editorial Team · Reviewed against agency and federal sources · Read our editorial policy for how we research and review mortgage content
Plain-English explanation
Front-end DTI focuses on housing alone: principal, interest, taxes, insurance, HOA, and mortgage insurance. Some programs cap it in addition to overall DTI.
Why it matters
It ensures housing alone isn't overwhelming your budget, even when total DTI looks fine.
Where you may see it
- Underwriting conditions
- Loan application
A real-world example
A borrower earning $10,000/month with a $2,400 PITI has a 24% front-end ratio.
Educational and illustrative only
A common misunderstanding
The front-end ratio isn't the whole DTI picture — it looks only at housing costs, not your other monthly debts.
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This glossary provides general educational information. Mortgage terminology, qualification methods, forms, timelines, fees, program rules, and legal meanings may vary by lender, investor, loan program, property, occupancy, state, and transaction. Definitions do not represent loan approval, legal advice, tax advice, or a commitment to lend.
- Author
- Vabasso Mortgage Editorial Team
- Reviewed by
- Vabasso Mortgage Licensed Advisory Team
- Last reviewed
- July 30, 2026