Do rental properties count in your DTI ratio?

[Ellie Narie]

I'm a little confused on how to calculate the DTI ratio. If a rental property is in your name, and let's assume that 75% of the rents offsets the PITI but you have no cashflow.

Let's say you want to go out and get another mortgage, is the above rental property included in your DTI?

For example: 

Let's say you have a property with a $3000 a month PITI. It rents for $4000 a month. Your own personal income is 100k a year.

When you go and apply for another mortgage, how do you calculate your DTI, assuming no other debt other than the above rental property?

Since you already have a property which rents at 4000 a month, lenders use 75% of it as your income ($3000 a month.)

So, for the DTI calculation, is the monthly income $11300 (8300+3000 rental income)? Which means that the maximum PITI would be $5085 a month (45% of 11300)? And since you're already paying $3000 a month PITI for your current property, I assume you're left with 5085-3000 = $2085 for getting a new mortgage? So that means the PITI for your next mortgage can't be more than 2085 a month?

Am I doing the calculation wrong? How do you actually calculate how much you qualify for with the above example?