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Will my deferred student loan debt be considered on a loan application?

I am a graduate student, and have deferred debt that would be equivalent to $880 a month in payments beginning in 2019. How do lenders view this? Will I not get approved for as much due to the upcoming payments? by CeliaGraves88496 from Fruitland Park, Florida. Aug 28th 2015 Reply


Joshua Lerette (FloridaFHAVALender)
#213 ranked lender in Florida - 47 contributions

Celia,Student loan debt that is deferred for over 12 months from the time you close is not considered as a payment against you and omitted from your overall debt to income ratio. I'll be happy to assist you with a complimentary analysis and pre-qualification. You can reach out to me via e-mail, phone, or feel free to apply on-line as well at www.jlerette1.lenderama.comLook forward to hopefully assisting you further. Joshua Lerette - Sales ManagerCarrington Mortgage Services, Inc.727-488-7355Joshua.Lerette@Carringtonms.com

Aug 28th 2015
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William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,726 contributions

The current FHA guidelines allow for that debt to be ignored, however on September 14th, that changes.. the lender will be required to take either 2% of your outstanding student loan debt, or the actual payment and add it to your ratios. Conventional guidelines require we use 1% of your outstanding balance or the actual payment.. So, as of the 14th of next month, all conforming guidelines will require that the lender account for a payment against your ratios for student loans.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347

Aug 28th 2015
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Ross Bennett (RossBennettCMB@gmail.com)
#260 ranked lender in Florida - 4 contributions

Most conventional lenders will use your actual payment. If its deferred or does not indicate, they will calculate the payment at 1% of the balance.Starting this fall, FHA will use 2% of the balance as a payment on deferred loans. If you are buying right away, you may be able to beat the deadline.Ross Bennett407-461-1066RossBennettCMB@gmail.com

Aug 28th 2015
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Dan Paladin (dpaladin)
#1 ranked lender in California - 607 contributions

Conventional loans will count that debt as part of your liabilities to determine debt income. Conventional does NOT allow deferred loans. As for FHA they will allow deferred loans and exclude it from your debt as long as it is deferred a min of 12 months after the close of the purchase transaction which it appears it does. So it would appear your purchasing power would be greater with FHA vs. conventional. Hope this helps...Good luck...

Aug 28th 2015
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