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DTI question

Contributor

DTI question

I have a car loan with a $3,000.00 balance and I pay $471,00 monthly and my gross monthly is $2,650.00.I want to apply for an FHA loan.My DTI ratio is 21%.Since my balance on the car loan is low,will FHA require that the loan be included in my DTI ratio?



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2 REPLIES
Regular Contributor

Re: DTI question


smiths38 wrote:

I have a car loan with a $3,000.00 balance and I pay $471,00 monthly and my gross monthly is $2,650.00.I want to apply for an FHA loan.My DTI ratio is 21%.Since my balance on the car loan is low,will FHA require that the loan be included in my DTI ratio?


I believe that if the account is within 6 months of being paid in full, lenders will not include it in your dti.


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Super Contributor

Re: DTI question

it will be included. because it is a significant payment (over $100 seems to be the accepted definition of significant).

 

if you have the balance in savings.... and qualify for the loan without those assets..... i have seen lenders ignore the payment.

 

ex.

 

i have $10000 in savings. i need none of it for closing. the loan officer puts down $7000 for savings and $0 payment for auto.

 

i havent done this in a long time.... so i don't know what an underwriter would say today....

 

 

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