Card Utilization
I'm working on getting my FICO to 750 before applying for a mortgage so I can get the best rate and also paying down credit card debt (which I know they coincide). To improve my FICO score, is it best to pay down EACH card to 10% or lower or is it calculated overall? Does a mortgage lender look at it from both angles in addition to DTI or do they only care about DTI? I have 3 cards that on average 40% utilization amongst those 3, but overall I have 23% utilization.
Categories: mortgage Tags: 750-before, card-debt, down-credit, dti, fico, mortgage, mortgage-lender, pay-down, the-best
Mortgage, FHA, and Student Loans
I am looking to buying a home soon and was told that student loans would not be included in the DTI if it was deferred for 12 months from the closing date. How can you provide this information?
Categories: mortgage Tags: closing, dti, from-the-closing, home-soon, student-loans, the-closing
A couple of FHA "household income" and DTI questions…
I have a couple of specific questions about income/household income for an FHA loan. We are not in a community property state. I'll preface by saying that I have done quite a bit of searching/reading on here, but am confused about income that is considered and what household income has to do with a loan if only one spouse is applying. 1. If DH and I decide to only apply under DH's name, how is our household income calculated? Is only his income considered? Would my income ever be brought up/considered if I'm not on the loan? 2. I have seen mention on here about lenders calculating income that can be borrowoed against as the median of the past 2 years - is that true? How does OT/bonus calculate into that? 3. How is our DTI ratio calculated? Is only DH's debt counted? Is my debt considered as well? Is my income considered in the DTI ratio (if I'm not on the loan)? 4. Also, can someone remind me again what debt is considered in DTI ratio? Is it only revolving accounts (vehicle, CC, studen loan)? Is DTI calculated by gross income 5. What is the max DTI when including the mortgage payment/insurance? Specifically, we're looking at his gross income of $48k/year with $575 monthly debt (this does not count my bread-winner income or my debt). Looking at homes in the $115 - $135,000 range. Thanks in advance! Edited to add: I did find some explainations on front-end and back-end DTI ratios, which helped quite a bit. The ratios I found were 29% for front-end and 41% for back-end - does that sound right? Message Edited by wvasweetness on 02-08-2010 07:15 PM
Categories: mortgage Tags: bonus-calculate, debt, debt-considered, dti, household, income, loan, message-edited, mortgage, only-revolving, our-household
Manx Telecom backing DTI at e-gaming expo – Isle of Man Today
Manx Telecom backing DTI at e-gaming expo - MANX Telecom will be supporting the Isle of Man Government delegation at the high profile International Gaming Expo being held in London today (Tuesday) at the Earls Court Exhibition Centre.
Categories: Telecom Tags: being-held, dti, earls, earls-court, international, isle, london, Manx, the-high