fha student loan defer question

[cbarr]

I'm applying for an fha mortgage, and because my state is a community property state, my wife's student loans come into play. I see that if we can show they're deferred for 12 months they will not be factored in. But her deferments are only being granted in 12-month increments. does that mean we need to close within 30 days of receiving the deferment letter???

[Anonymous]

I think that is the point of the 12 month rule.  They don't want the loans disqualified for deferments as much.They are willing to overlook loans that are not in repayment due to still being in school, etc.  They figure if you are already graduated and have a job, you should not need a deferment if you are looking at a house.  In other words, hard ship deferments and the like are not suppossed to be useable, hence the 12 month rule.  If you are still in school and will be for a couple years, and you would expect your income to jump after graduation,  then you can ignore the loans.  That is how it was explained to me by a LO.  Otherwise, everyone with student loans would just file a deferment right before getting a loan.

[CreditGuy03]

Whats the update on this? Has anyone tried to close within 30 days of recieving a deferment letter?

Message Edited by CreditGuy03 on 06-10-2009 09:27 AM

Message Edited by CreditGuy03 on 06-10-2009 09:28 AM

[Anonymous]

It doesn't really work that way. Even if you're still in school you could drop out at any time so it's highly unlikely you'll get a letter from your SL lender.

Standard deferments are 6-9 months on most loans unless you give them a reason you're unable to pay at the time. If that's the case, it typically isn't going to work in your favor. Very hard to have done.