+3 votes
asked in FHA Loans by
I have been in Chapter 13 for 12 months with no late payments. I would like to obtain an FHA to buy a home.  However, I am concerned that my Chapter 13 monthly payment and student loans (deferred for 4 more years) will keep me from qualifying because my DTI will be too high. I only make about 70,000 a year. My chapter 13 payment is 471 every two weeks. I believe my student loans are around 80,000 (1% is 800).  Is it possible for me to be approved?

2 Answers

+2 votes
answered by
Best answer
Chapter 13 and student loans do count against your DTI.  i do have a way to lower your student loan obligation to possibly a half of a percent  This may help you qualify.  Please call me, this is my specialty.

Alex Carlucci 630-915-7550
+1 vote
answered by (23.2k points)

Alex is correct, the chapter 13 payment will count against your debt to income ratio. Since you cannot use a conventional mortgage while in a Chapter 13 bankruptcy, 1% will be used for student loans for FHA.. Unless you get on a fully amortized FIXED monthly payment. This is what Alex is referring to. Please reach out to Alex for more information!