Looking to purchase a primary home while keeping an investment property.Hi,My wife and I are in an interesting situation. We want to purchase the house we are renting from my father-in-law. The condo that I currently own is under my name before we got married and is a FHA 5% loan. The condo was a new construction in 2007 and is now substantially underwater. The value is around 85k but the loan still has114k remaining. We have the condo rented out and are breaking even on the property. We looked into building a home earlier this year but when HeartLand bank did the approval process they said our condo caused our Debt-To-Income ratio to go above 45% and was to risky for them. They mentioned we where 47% and they wanted 45% or lower to be approved for a loan. We now want to stay in the house we are renting for father-in-law, purchase it and convert the condo from FHA to an investment property. Can we qualify for a loan while keeping the condo as a rental? Could the condo be converted into a investment property and then purchase the home we are in now as an FHA? Our financial history looks like this…Both have 720+ creditCombined yearly gross income of $67,500Combined monthly net income $4042Condo mortgage $822Condo association fee $145Car Loan 1 - $175 monthCar Loan 2 - $173 monthTotal Debt for both Cars = $13,957I currently have student loans totaling at $12,000We do not have any other recurring debt such as credit cards etc.Thanks, Todd July 01 2013 - Saint Louis00YesReport a ProblemProblemSelect oneOffensive contentIrrelevant contentSpam (pure self-promotion)OtherDetailsYour emailPlease enter a valid email address.Submit CancelContent flaggedWe will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.We're sorry. This service is temporarily unavailable. Please come back later and try again.