High Debt to Income Ratios up to 57% FHA & 49.9% Conventional

Dream Home offers program to borrowers with high debt to income ratio up to 60%. If you get denied by other lenders contact us and we will find you the loan to suit your need. We at Dream Home Mortgage are aware of the difficulty that a high debt-to-income ratio may cause for many people. Keep going if you’ve been turned down for a loan elsewhere because of how much you owe. We are experts in assisting borrowers with high debt-to-income ratios in securing affordable mortgages. You may overcome financial barriers and realize your goal of homeownership with our help because of our extensive knowledge of and access to various lending options.

Understanding Debt to Income Ratio

Learn the debt-to-income ratio (DTI) and why it’s important before we go into the alternatives we provide. Debt-to-income ratio (DTI) is a financial ratio calculated by dividing your monthly debt payments by your gross income. Lenders will pay close attention to this number (stated as a percentage) when they evaluate your loan application. Add up your mortgage or rent payments, credit card payments, student loan payments, vehicle payments, and any other monthly debt payments to get your debt-to-income ratio. Then, divide that number by your monthly gross revenue. The DTI ratio is the result multiplied by 100. If your gross monthly income is $5,000 and your total debt payments are $2,500, your DTI ratio is 50% ($2,500 divided by $5,000 times 100).

High Debt to Income Ratios and Mortgage Approval

As part of their underwriting criteria, lenders often impose maximum DTI ratios. These restrictions may constrain your ability to pay off debt as a share of your income. It might be easier to get a home loan if your DTI ratio is higher than the lender’s minimum requirement. Those with high debt-to-income ratios may need help being approved for a mortgage from a traditional lender. Dream Home Mortgage, however, offers plans tailored to borrowers’ needs with higher DTI percentages.

Homebuyers

We will help you find the right financing solutions to meet your needs.

Tailored financing solutions, just for you.

Get A Quote

Today's Rates

We homeowners determine the right time to purchase or to refinance.

Homeownership made easier, smarter decisions.

Get A Quote

Refinance

We can help you lower your interest rate and lower your monthly payment.

Lower rate, lower monthly payments, guaranteed.

Get A Quote

Ask an Expert

If you have any mortgage related questions, we have the answers.

Mortgage questions? We've got you covered.

Get A Quote

High Debt-to-Income Ratio Loan Programs

FHA and conventional loans are our two main financing options for clients with high debt-to-income ratios. Examining each of these courses in further detail:

FHA Loans

For borrowers with higher DTI ratios, the FHA (Federal Housing Administration) loan is a suitable option. FHA loans allow for DTI ratios up to 57%, making them more lenient than conventional loans. With an FHA loan, you can purchase a home with as little as a 3.5% down payment, even if your debt-to-income ratio is high. Our mortgage experts are well-versed in the FHA loan process and can expedite your approval, ensuring a smooth experience.

Conventional Loans

Unlike FHA loans, conventional loans come from private lenders and lack government guarantees. However, we offer specialized conventional lending programs tailored to borrowers with higher DTI ratios, sometimes accommodating up to 49.9% DTI. Conventional loans provide favorable interest rates, increasing the likelihood of securing desirable loan terms and saving money over the loan's lifespan. Depending on your down payment, private mortgage insurance may apply.

Why Choose Dream Home Mortgage?

We can help borrowers with a high debt-to-income ratio because of our years of experience in the mortgage market. Our mortgage experts will walk you through the steps of getting a loan with a higher DTI and answer any questions you may have along the route. Our network of reliable financial institutions includes institutions that cater to clients with high debt-to-income ratios via tailored lending packages. Thanks to our vast network of lenders, we can match your specific financial needs with the best possible loan product. At Dream Home Mortgage, we treat each customer as an individual. We try to learn about your needs, budget, and background. During the loan process, our mortgage experts will work directly with you to help you explore your alternatives, respond to your questions, and address any concerns.

Streamlining the Mortgage Application Process

A high debt-to-income ratio might make the process seem daunting when applying for a mortgage. That’s why we work hard to make submitting your application a breeze. Our staff will help you compile the required information, fill out the forms, and submit everything to the lender on time. Keep trying if you’ve been turned down for a loan elsewhere because your debt-to-income ratio is too high. If you need financial assistance, contact Dream Home Mortgage and we will look into your options. Our mortgage experts match borrowers with the best loan programs and develop innovative solutions.

Take the First Step towards Homeownership

It would help if you didn’t allow a high ratio of debt to income to prevent you from buying a property. We at Dream Home Mortgage want to see you succeed in becoming a house owner. Thus, we will do all in our power to assist you in doing so. Our FHA and conventional lending programs provide customized solutions for borrowers with high debt-to-income ratios.
Get in touch with us immediately to meet with one of our licensed mortgage experts. Helping you become pre-approved for a loan is the first step toward becoming a homeowner. If we work together, we can make your goals come true.