Question by  Migs (51)

What is the debt to income ratio for a second home?

I would like ot buy a second home.


Answer by  sluna (31)

Lenders generally prefer a debt to income ratio ("DTI") no higher than 36%. This percentage is the same regardless of whether the property is used as a first or second residence. If your DTI is higher than 36%, other factors, such as the amount of down payment, may positively influence the lender to exceed its standard DTI.


Answer by  Karen54 (971)

There is no specific debt to income ratio for a second home. It would be considered part of your debt outside of your main residental housing. The total debt to income ratio is usually 36% of gross income, with housing a maximum of 28%. That would leave 8% for all other debt such as credit cards, automobiles and second homes.

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