FHA DTI?

[alexplantman]

I did a search and didn't come up with anything. The FHA web page says DTI limits are 31% dti mortgage payment to gross and 40.3% dit mortgage payment + debt to gross... Then I see on CNN Money that's it's 29% / 41% ... So which is it? Or do banks go up higher on some cases?

 

tks

[jmf8756]

Ask your lender. Ours goes higher than what the FHA website says.

[luckydriver]

if you get in on the 29/41 you are genearlly golden, but banks routinely go to 45% and even higher. it really depends on the lender.

[jmf8756]

if you get in on the 29/41 you are genearlly golden, but banks routinely go to 45% and even higher. it really depends on the lender.

 

That's what I expected it to be. We're right at 43% with my student loans before consolidation and I've been stressing trying to get other stuff paid off because they are in deferment and they won't let me consolidate them now. I asked our lender and she said they will go up to 47/57 (which is insane in my opinion), but made me feel better about being on the borderline.

[luckydriver]

up to 47 on the front end is indeed insane...great if you really can afford it but i doubt most people can these days realistically. i just wonder how they can sell the loan with such high numbers but i dont know about such things.

[jop3]

29/41 are the old calculations. Currently, the manual guidelines say 31/43. But, if you can get automated approval (by running it through the computer underwriting engine) then it can go slightly higher. Generally not to exceed 50% on the back end. If you are at 43, you are fine.

[jop3]

29/41 are the old calculations. Currently, the manual guidelines say 31/43. But, if you can get automated approval (by running it through the computer underwriting engine) then it can go slightly higher. Generally not to exceed 50% on the back end. If you are at 43, you are fine.

[alexplantman]

Ok, I called my credit union and it's 43% DTI on the back; so I'm very ok there.

 

But of course, the next hurdle.. Credit union says it doesn't do FHA on condos, but on HUD's web page, it seems to indicate they do cover condos. Could this be just my c/u or is that how it is industry wide? Oh well, I just did a search on the archives here and saw some similar issues and details on why the c/u doesn't want an FHA on a condo; strict FHA rules, etc..

 

Oh well, another home buyer potentially out of the market.....

Edited May 8, 2012 by alexplantman

[jop3]

Ok, I called my credit union and it's 43% DTI on the back; so I'm very ok there.

 

But of course, the next hurdle.. Credit union says it doesn't do FHA on condos, but on HUD's web page, it seems to indicate they do cover condos. Could this be just my c/u or is that how it is industry wide?

 

 

It depends. While FHA will do condos, the condo association has to be approved. You can look up if your association is approved here https://entp.hud.gov/idapp/html/condlook.cfm .

 

Some banks just don't do condos at all, so if you find your complex on the approved list, just call another lender.

[greekjim]

I just a FHA mortgage on a condo through my mortgage broker

[alexplantman]

Was that a major bank that I may just walk in to a local branch, that your mortgage broker got you? I want to research this a little further before I end up with a mortgage broker

[greekjim]

I am not sure if it is a major bank or not, got the clear to close and closing next Tuesday

[alexplantman]

I am not sure if it is a major bank or not, got the clear to close and closing next Tuesday

 

No prob, congrats on the closing / approval