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Updated almost 7 years ago,
Loan Approval and DTI
Hey all, my wife and I just found a great Triplex for us to house hack. Only issue is 4 months ago we moved out of our previous house (decided to AirBNB it) and signed a 1 year lease on an apt closer to work. The AirBNB has been doing well but because we havent been doing it for two years its not counting as rental income and we have 7 months left on our lease.
So our DTI is crushing us from getting an FHA for this duplex. Anyone have any suggestions about the apartment lease being a factor on our DTI? I dont want to have to break the lease as i dont feel thats right. It also has $10,000 left on it. The only other thing affecting our DTI will be the HELOC repayment once we use it for the down payment on this new house and our car loans one of which i will be getting rid of to help.
Our DTI with the rent is 45%. Without it its 35%.
Any help would be appreciated.