Enter the total mortgage payments including PITI (\$) and the total income (\$) into the Front-End Ratio Calculator. The calculator will evaluate and display the Front-End Ratio.

## Front-End Ratio Formula

The following formula is used to calculate the Front-End Ratio.

FER = M / I * 100

• Where FER is the Front-End Ratio (%)
• M is the total mortgage payments including PITI (\$)
• I is the total income (\$)

## How to Calculate Front-End Ratio?

The following example problems outline how to calculate Front-End Ratio.

Example Problem #1:

1. First, determine the total mortgage payments including PITI (\$).
• The total mortgage payments including PITI (\$) is given as: 3,000.
2. Next, determine the total income (\$).
• The total income (\$) is provided as: 10,000.
3. Finally, calculate the Front-End Ratio using the equation above:

FER = M / I * 100

The values given above are inserted into the equation below and the solution is calculated:

FER = 3,000 / 10,000 * 100 = 30.00 (%)

Example Problem #2:

For this problem, the variables required are provided below:

total mortgage payments including PITI (\$) = 6,000

total income (\$) = 12,000