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debt to income ratio
gentlewoman
Posts: 43 Forumite
Is this simple formula used in the UK when granting mortgages? And if yes, what is the formula used? On some websites I saw people using gross income, others net income etc. And also if used, what is the threshold, is it 40% or lower? Thanks!
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Comments
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There is no formula, some lenders do not care providing it is affordable, others say 40-50% of annual income.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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