Mortgage Planning
Debt to Income DTI Distribution Explained
This plain-language guide covers what DTI is, why a distribution matters, how to read mid versus 90th percentile, and how to compare scenarios safely.
Published: January 1, 2026 · Updated: January 1, 2026 · By FinToolSuite Editorial
Open the stress tester
Run a scenario, view the DTI curve, and compare two runs side by side.
Disclaimer
- Educational only. DTI thresholds vary. No guarantees.
- Examples are illustrative.
- Results depend on inputs and assumptions.
Debt to income DTI distribution explained
A DTI distribution shows how your DTI could move across simulated paths instead of a single point. It helps you see typical outcomes and stress tails when rates rise or income falls.
Mid vs 90th percentile example
If the median DTI is 34% and the 90th percentile is 43%, most simulated paths cluster around the mid-30s while tougher paths push into the 40s. A wider gap signals more tail risk.
Compare scenarios fairly
Keep assumptions the same, change one variable (price, rate, down payment), and compare DTI percentiles. Pair the distribution with the recommended safe loan to see how both move.
FAQs
What counts as debt in DTI?
Recurring monthly debts and housing costs. Keep units consistent.
Why can tails be wide?
Stronger shocks or higher cost assumptions spread outcomes. Adjust assumptions and rerun.
How does this relate to safe loan?
Safe loan uses stress outcomes. A tighter DTI distribution can support a higher safe loan and vice versa.
Can I compare two properties?
Yes. Save two scenarios with the same assumptions and review DTI percentiles side by side.
Where is the Privacy Policy?
See Privacy Policy before sharing exports.
Read your DTI curve
Open the mortgage affordability stress tester, run two scenarios, and compare the DTI mid and high percentiles.