What is the highest percentage you've seen for debt to income ratios with FHA?

Question

How can lender or I get the ratio approval higher?

Answer 1

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There are two DTI ratios that FHA uses. The first (front end ratio) is 29% that dosn't change regardless of the lender. (this is your mortgage payment, taxes and insurances divided by your income) the back end ratio depends on the lender, I've seen them go up to 55%. The back end is calculated like the front end but including your credit cards, loans, car payments ect. that are on your credit report. The lower your back end ratios are the safer they view the loan.

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Answer 2

The highest back-end you can get on a manual underwrite with FHA is 42%...that is the maximum allowed by DE underwriters.

The maximum that I have seen on automated underwriting is 46%.

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Answer 3

I have seen 65% DTI approval.

Credit score 705

10% down payment & $10,000 reserves after closing

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