My wife and I just completed a rehab and are looking instead to moving in and house hack. I wanted to state that other than our rentals we don't have any other debt. Also our rentals we do have are on large parcels of land that can later be develop to have multiples houses on them.
Mortgage with insurance: 2300 and 2600
Rents: 2800 * 2
Current commercial mortgage: 3600
New potentail mortgage with cash out: 3000 (based on online calculators)
House hacking: $2000
I personally don't want to give my income here but before this new house we had a DTI of 34% after this it would transition our DTI to 49%. My question is what can I do to create a stronger case for my local bank to take over the loan? To note we've paid all the rest of our outstanding debt including cars and now just have a credit card balance that we pay.
@Jackson Pontsler - There really isn't a case to make, DTI is a conforming guideline and you must meet the requirements to get a conforming loan. It is black and white. You either meet it or you don't.
If you don't, your only option is a portfolio loan as the lender cannot sell it on the secondary market. Rates are higher by a few percent and the terms are not as good.