Do loans in deferment count towards your debt when you apply for a mortgage?

My fiance and I have a lot of student loan debt but we'll be taking courses at least half time so we don't have to pay them back yet. Would a mortgage lender consider that when calculating how much we can borrow for a house?Do loans in deferment count towards your debt when you apply for a mortgage?
NO! NO! NO!





There are so many loan officers that think that it does, and it GETS counted.





Remember, you are applying for a 30-year mortgage and the deferrment is only for 12 months...so what are you going to do when the deferrment period is over?





I can't tell you how many times I had an LO waste a customer's time getting those worthless letters of deferrment, only for me to have to tell the customer that we couldn't take it.





PS: ...and this crap about it being the ';mood'; of the underwriter...ALL LOANS HAVE WRITTEN GUIDELINES on how student loans are treated...the guidelines are plain as day...no deferrments are accepted in the DTI calculation, if no payment is listed, they will use 1% of the balance to calculate a monthly payment in the DTI calculation.Do loans in deferment count towards your debt when you apply for a mortgage?
It really depends on the ';mood'; of the underwriter. Some will not count it, but with all of the credit tightening standards as of late, I would guess most will consider it. After all, it is technically a monthly payment that can come back into play at any point in time (drop your classes, decided not to take classes, etc.). I do have some good news tho...I have bought two houses in the last 8 years, and in neither situation were student loans brought under intense scrutiny. Student loans are normally considered good debt (as long as they are not out of control). The interest rates are typically lower that a standard loan, and they are ';secured'; in a sense because you will likely earn more yearly based on using them for your education. It was actually the credit card debt that was frowned upon and put under the microscope...if you are good in that area and your credit scores are high enough (at least 680), you should be good. Best wishes to you!
When applying for a loan the banks look at the debt to ratio income. That loan would be part of the debt.





Go to bankrate.com They have a lot of good tips on buying a home.





Also check your credit. These days you really need to have a min. of 680 and above to get a loan.