Use this worksheet to give you an indication of your financial health when including a monthly mortgage payment and typical homeowner expenses. This worksheet will help you understand your total debt-to-income (DTI) ratio, which compares your earnings against monthly expense obligations. Mortgage lenders consider DTI ratio when determining the home loan amount you are eligible for and whether or not you already carry too much debt for a new loan.
If your monthly budget results in a negative sum, then you should take the time to re-evaluate your spending habits, debt and home financing budget.