Rent Appraisal

[James W.]

Hi gys -

This time I went for loan - I was told the Debt to Income ration has to be under 49%. Its Fannie Mae.

Debt is difference between projected Payment - and projected Rent. Only 75% of Rent can be used.

The question is - how does bank determine the Rent. I could say a higher number just to keep ratio under 49%.

I was told bank orders a rent appraisal. Is this right?

Anyone has experience of approval or denial of Investment loan with Rental Appraisal?

[Brent Coombs]

@James W., asked and answered, by Chris. "It's not a separate appraisal, it's just an "add on" to a standard appraisal". ie. Yes, your Lender gets to appraise (guess) the rent, not you.