Curious About Your Buying Power?

The calculator below will help you determine loan amounts, mortgage qualification, affordability or whether you should be renting or buying. Complete the fields below and click Calculate Now. To view the results of each calculation, click on the various tabs.  To email yourself a copy of the results, click the Receive this Detailed Analysis link. Understanding GDS and TDS GDS (Gross Debt Service Ratio) is the percentage of annual income required to cover payments associated with housing.  Payments include mortgage principal, interest, property taxes, hazard insurance and condominium or association fees. TDS (Total Debt Service Ratio) is the percentage of annual income required to cover payments associated with housing and all other debts and obligations (car loans, credit cards, etc). Conventional loans are usually looking for a GDS of no more than 28% and a TDS no higher than 36%. For FHA and VA loans the maximum GDS ratio is 29% and the maximum TDS ratio is 41%. These percentages are yardsticks but are not locked in cement.  You should always talk to a lender to determine the ratios acceptable to them.