Last reviewed 10-31-2026Short-Sale.com Editorialglossary

Qualifying Ratios

California Association of Realtors

Updated 10-31-2026

Qualifying Ratios

Calculations used to determine if a borrower can qualify for a mortgage. They consist of two separate calculations: a housing expense as a percent of income ratio and total debt obligations as a percent of income ratio.

California Association of Realtors Glossary

California Association of Realtors · p. 11

FTC

Updated 10-31-2026

Qualifying Ratios

Calculations that are used in determining the loan amount that a borrower qualifies for, typically a comparison of the borrower's total monthly income to monthly debt pay-ments and other recurring monthly obligations.

FTC Real Estate Terms

FTC · p. 15

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