Have a high DTI, but am looking to purchase a second home while renting my first out. Need help finding a loan!!!!!
My middle credit score is 644, while my husband's middle score is 674. Our loan for the home we currently live in is an FHA loan, so we could not get another FHA loan for the new house that we currently have under contract. We are in the process of paying off several items, so I know our DTI and credit will improve within next 45-60 days. We have had a lot of inquires om our credit reports, but I am writing to the companies I have never heard of to ask why they ran our credit. We have a signed contract on a home because we were told we could qualify for a USDA loan, but we cannot qualify. Can anyone help us, please? by rtimmons from Moncks Corner, South Carolina. Jun 15th 2011
Gianni Cerretani (mortgagegodfather)
#32 ranked lender in Georgia - 238 contributions
Sounds like you need to have a conversation with a qualified loan officer as your situation has alot of moving parts. If you are paying off substaantial debts to lower your DTI then this can be updated in 72 hours with a rapid re-score and should not only boost your scores but also lower your DTI. USDA loans require a DTI of 40% on the back end if you are going up to 100% LTV yet cannot be used for investment or second home purchases which is why you might be running into issues. Is this property going to be your primary as you mentioned you were buying a second home?
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