I am looking to buy my first property soon. I am looking to buy a duplex (in Volusia, Seminole or Orange County Florida) and was wondering if anybody that had student loans was able to still qualify for FHA?
Also, has anybody done first time home buyers program in Florida with FHA? Possibly a 203(k) loan with Florida First Time home buyer.
Thank you everyone! I am ready to own my first investment property!
You should make an appointment with a local mortgage lender or broker and discuss all the financial programs you currently qualify for with your current income and amount of debt you currently owe.I really don't recommend big banks anymore but rather the much more flexible mortgage lenders that work with local Realtors in house at their brokerage offices.
I have an FHA loan and some student loan debt. If you think your dti ratio is too high, call your student loan company/companies and lower your payment a month or two before you qualify for the fha loan to as low as possible (not forebear, like the graduated program) and then get approved. They will see on your credit report the low amount you are paying monthly once it reports. After you close on the loan reset your student loan payment to a regular payment. Of course, I am not recommending taking on more debt than you need to on your fha loan, but you got do what you got to do. Make sure you are cashflowing to the standards you have been learning about on BP.
The student loan doesn't matter in particular, it's all about your overall debt to income ratio (DTI). As mentioned above, reach out to a reputable mortgage broker that specializes in 203k's. Those loans are GREAT but they're a different animal to the typical lender so you really need to do your research and find someone that specializes in them. Good luck!
Will do. Awesome thank you all!
Do not lower your student loan payments for a month or two. This will not improve your debt to income ratio him in anyway. Keep it where it is, don't touch it, talk to a qualified lender who knows what s/ talking about.
@Michael Cohen do you have any lender recommendations in Florida?
@Melvin List is very active on these forums and gives fantastic advice. He's based out of Tampa but you should definitely connect with him.
Originally posted by @Michael Cohen :
Melvin List is very active on these forums and gives fantastic advice. He's based out of Tampa but you should definitely connect with him.
Thank you Michael.
If you want a great deal look into the NSP programs around here both my sister and I have bought houses through these and you cannot beat the deal (Prices have gone up since this but I bought a Fully rehabbed 3/3 for 69k with 30k deferred for 15 years and if you keep it for 15 yrs the 30k is washed).
Okay Matthew. Thank you!