FHA Guidelines on Student Loans Calcs for Ratios

[Letisia Crespo]

I am receiving conflicting information from different lenders, when it comes to the way student loans are calculated toward ratios when obtaining and FHA loan.

While I did some research and found the verbiage directly on HUD's portal. (Hud's Portal)

It seems it's still interpreted differently depending on who I ask. From one aspect I told the monthly payment being reported on the credit report can be used and no other information would be needed.    

While on the other hand I am being told it would need to be 1% of the loan balance , because many students may be on a income repayment plan which would mean there payments are not fully amortized. 

Can any one who has processed these scenarios please help explain which is it? 

Thanks so much!

-Letisia