Posted on: 24th Jun, 2009 09:01 pm
I have a question. I'm really strssing out about what we found out today with both my husband and myselfs DTI. My husband drives his car for work and writes it off at the end of the year. His gross per month is 2200.00. Mine is 2000.00. We were told by our lender today that we are borderline between getting approved, and not. Our loan is for 114,000. Our DTI is at 49% and we were told because my husband wrote alot off as "business purposes" on his taxes last year. We were told it's up to underwriting at this point.
My question is, with this DTI what are the chances we will get the loan?
Any info please!!
My question is, with this DTI what are the chances we will get the loan?
Any info please!!
Amanda ,
Welcome to Mortgagefit
Normally DTI for FHA loan is 41 % .As in your case (you are applying as co-borrower) so they have increased it to 49 % but to be very frank it really depends on underwriter.
We can not comment about the loan approval just with the single post (rather no one should do that) But surely I can tell you that if either of you have at least 2 yrs of full time employment history then it will be possible for you to get the FHA loan without any extra efforts. I have assumed that both of you have good credit score well above 620.
keep in touch...........
Welcome to Mortgagefit
Normally DTI for FHA loan is 41 % .As in your case (you are applying as co-borrower) so they have increased it to 49 % but to be very frank it really depends on underwriter.
We can not comment about the loan approval just with the single post (rather no one should do that) But surely I can tell you that if either of you have at least 2 yrs of full time employment history then it will be possible for you to get the FHA loan without any extra efforts. I have assumed that both of you have good credit score well above 620.
keep in touch...........
To Amanda,
The general acceptable DTI ratio for an FHA loan is 41%. Lenders don't mind offering loans to borrowers with slightly higher DTI ratios. But most lenders would want your total debt obligations to not exceed 45% of your income. In certain cases, the lenders may still offer loans to those with higher DTI ratios. If the borrower puts in enough down payment for the loan or he or she has an excellent credit score and payment history, chances are that his or her loan will be approved. What you can do now is, pay off your credit card and other unsecured debts as soon as possible to bring down the ratio to at least somewhere around 45%.
The general acceptable DTI ratio for an FHA loan is 41%. Lenders don't mind offering loans to borrowers with slightly higher DTI ratios. But most lenders would want your total debt obligations to not exceed 45% of your income. In certain cases, the lenders may still offer loans to those with higher DTI ratios. If the borrower puts in enough down payment for the loan or he or she has an excellent credit score and payment history, chances are that his or her loan will be approved. What you can do now is, pay off your credit card and other unsecured debts as soon as possible to bring down the ratio to at least somewhere around 45%.
if automated underwriting approves the loan with that ratio, then the loan will be approved. i have seen many cases in which the back ratio was 49% and even higher, and they've been approved. obviously, all else with the file needs to be favorable.
