Need help with my loan application

Even though your student loans are in deferment, underwriting requirements dictate that a deferred loan must reflect a minimum payment. The amount depends on the loan type. The minimum would be 0.50% of the loan amount, meaning that with $435k in loans, your assumed payment would be $2,175 per month, plus all your other payments. Seriously though your real problem is your credit scores. You need to work with a reputable credit company to work on getting your bad debts resolved to get your scores over 580 middle score before you would have any chance at a loan. If you want to go this route, I recommend MyCreditGuy.com.Bert Carpenter, The LoansA2z Team of NEXA Mortgage ~ NMLS 40586 ~ Certified Mortgage Advisor and Certified by The National Association of Mortgage Professionals as a Certified Veterans Lending Specialist.

Credit scores are a major issue that realistically need to get dramatically higher before applying. Assuming you get your credit scores up, you still have a huge problem. Even when student loans are deferred, lenders still calculate a minimum payment. The best option being a payment of 1/2% of the outstanding balance. So $435k will give a payment of $2175 a month. Your typical mortgage is 30-years. While the student loan is deferred today, it isn't going to be deferred forever, so we calculate the 1/2% payment. $63k a year in income and $425k in student loans is going to be a major debt-to-income ratio problem for you until your income increases dramatically. $63k is $5200 a month before taxes. Then factor a $2175 student loan payment, plus whatever the new house might be, plus food, cars, utilities, credit cards, etc, and you can see why lenders are saying no. Sorry.