Finance
A Vermont buyer's debt-to-income ratio (DTI) is calculated by dividing:
AAnnual income by total property taxes
BTotal monthly debt payments (including the proposed housing payment) by gross monthly income✓ Correct
CNet income by the monthly mortgage payment
DTotal assets by total liabilities
Explanation
DTI = Total Monthly Debt Payments ÷ Gross Monthly Income. Lenders use DTI to assess a borrower's ability to manage monthly debt obligations.
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