Real Estate Math
A Virginia buyer's total monthly housing payment (PITI) is $2,400. Their gross monthly income is $7,200. What is their front-end DTI ratio?
A25%
B30%
C33%✓ Correct
D40%
Explanation
Front-end DTI = Monthly PITI ÷ Gross Monthly Income = $2,400 ÷ $7,200 = 0.333 = 33.3%. Using the values given ($2,400, $7,200), apply the appropriate formula.. The correct answer is 33%.. This is a common calculation on the Virginia real estate exam.
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