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Can I get an FHA loan?

I am a teacher
Earned 47k last year
Credit score 735
Zero credit card debt, no car payment or anything besides....
40k in student loans at 5% (they are in deferment for the next 2 years while I am in grad school...from reading in the forum, this may or may not be included in my DTI?  I live in IL if that helps)
I have 13k in the bank (can get gifted another 5k more if it is necessary)
House I would like is 160k, $4200 taxes, no association fees.

Should I be okay?  Any tips to better my chances, I am nervous about being turned down due to my student loan debt?
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August 04 2009 - Naperville
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I would recommend speaking to a local mortgage broker in your area. They would be able to determine a pre-approval for you. After taking a loan application and pulling a credit report along with collecting your income and asset statements your file will then be run through an AUS(automated underwriting system) which will either give Approve or Refer findings. If you get Approve findings that means you can qualify for more as opposed to Refer which means lower ratios and a manual underwrite. 
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August 04 2009
You should be okay. Generally, student loans that are deferred for at least 12 months are not counted in your debt-to-income ratios for FHA mortgages.

Based on the information provided, and using your income, anticipated property taxes, estimating homeowner's insurance and FHA mortgage insurance premiums, and assuming you're putting just 3.5% down, you should be able to qualify for an FHA mortgage of $185,000.

Speak to a loan officer in your area and get pre-approved for a mortgage before you go house hunting. And good luck!
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August 05 2009
bufftimmy2, you are good to go! You will get a deferment letter but you could qualify with the payment anyway,
Step 1 - Contact John Paunan in IL, click on picture and send email
Step 2 - Preapproval
Step 3 - Contract a House
Step 4 - Close and add another 5/5 review to his mountain of reviews
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August 05 2009
 
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