Lenders commonly use a GDS ratio of 30% and a TDS ratio of 40% as guidelines to determine the amount you can comfortably afford for housing.

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This statement is true. GDS and TDS ratios are commonly used by lenders to assess your ability to handle mortgage payments and other debt obligations. A GDS ratio of 30% means that your housing expenses shouldn't exceed 30% of your gross income, while a TDS ratio of 40% indicates that your total debt obligations shouldn't exceed 40% of your gross income.

Lenders Commonly Use a GDS Ratio of 30% and a TDS