re: Homebuyers are now spending 40% of their gross income on mortgage and interest costs

A homebuyer’s DTI of 40% does not mean said homebuyer is spending 40% of his/her gross income on mortgage and interest. So, I don’t know where this person on Twitter got their lines crossed. Otherwise, some good info. The increasing DTI of homebuyers nationally indicates an increase in borrowing. Banks generally won’t lend to anyone with a DTI greater than 45%.