Well,my DTI is 21% with my car payment with a balance of $4,800.00, and I pay $472 per month.I'm just waiting for LL to get some ridiculous 30 day late payments removed from my Experian report.The problem is my lease is not up until August. and I need to get approved in May.I can make the extra payments until my lease is up with no problems.I said May because I just read that in June FHA is going to require you to pay PMI for the life of the loan and I am not doing that.
Starting Score: 553(EQ) 572 (TU) 586(EX) (EQ Complete Advantage)
I have no idea. I think it implies both have to be met for manual underwriting. But I am sure there will be lenders with overlays that look at one or the other.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! 
Last App: 4/5/13 Gardening until July 2014
Yes I hear you about the required PMI for the life of the loan. I would definitely try to close before the new laws go into effect. I just closed on an FHA loan 2/6/13. I did not want to pay PMI for the life of the loan. Our home cost $347,900 and the required PMI per month is $346! I am looking forward to the day when that drops off!
Wow that's a car payment almost and congrats on the purchase of your new home.
I know that it will be a headache,but I think I would try to refi and save the 40k.
Tell me about it! Crazy! Thank you for the congrats. :-)