Can I qualfy For a 3rd Mortgage?

[Davey Rowe]

New to this site, and I’m not sure if I'm posting in the right place.

I own two houses, both single family. I have to move for work in the next year and I was wondering if I would be able to qualify to buy a third property in the new city. Right now I rent one house, and live in the other. Below are my numbers; I'm not quite sure how my two existing mortgages are treated with the DTI ratio when trying to qualify for a third. Any insight would be great! I have about 6-12 months to make some changes if it'll help my chances. I was thinking a FHA loan for the third house. I would really like to qualify for 500k, but I could probably work with less.

Revolving Monthly Debts (Shown on Credit Report): $2.607.89

Monthly Income: $8,378.83

Monthly Mortgages for Current Properties: #1 $329.86 and #2 $927.67

Rental Income: #1 $950.00 & #2 $1,300 (Estimated)

[Paul Defngin]

Davey Rowe I would recommend going conventional as opposed to FHA so that you can use the rental income to offset the mortgages on the vacating property that you’re converting to a rental property. Depending on what city you are moving to; $500k may still be within FNMA/FHMLC High balance loan limit. If so you only need to put 5% down on your new owner occupy house.

From the limited info you shared, your dti should be fine but I recommend speaking to a Loan Officer to run quick numbers for you. Hope this helps.

[Harjeet Bhatti]

According to income and liabilities mention above your DTI will be high for new property in the range of $500k loan. I don't know what is property taxes in your area. Talk with your lender about pre-approval so you know your eligibility.

[Andrew Postell]

@Davey Rowe thanks for posting and I hope you enjoy the sight. It's just too difficult to know how much you qualify in a setting like this. The taxes of the property will weigh on your qualifying ratio and so will the insurance...and both of those will require a Loan Officer with knowledge of the local market you are moving to in order to calculate properly. And then your down payment and your PMI (if necessary) and so forth. This forum is more for like general questions like "how much down payment should I expect" or "what types of loans are available"....things like that. Hope this helps. Thanks!