PDA

View Full Version : How is the household debt to income ratio calculated in the flow of funds?


afliwoso
May 14, 2012, 08:23 AM
In the Federal flow of funds report, the household debt and income is reported and in calculating the household debt to income ratio, it seems that mortgage debt is included. If this is the case, wouldn't the ratio be very high, assuming the average homeowner's mortgage is significantly higher than their personal income.