Top 3 Mortgage Approval Obstacles in the COVID-19 Pandemic
Orange County Register, Jan. 21, 2021–Jeff Lazerson
Topping everyone’s list of COVID-induced loan denials is income instability realized as too low debt-to-income ratios or DTI. Simply stated, your total house payment plus recurring monthly bills divided by your monthly gross income is the lenders’ number one crystal ball predictor to determine your ability to pay. Generally, well-qualified borrowers get the green light under 50% DTI from Fannie and Freddie. FHA and VA offer higher allowances.
https://www.whittierdailynews.com/2021/01/21/top-3-mortgage-approval-obstacles-in-the-covid-19-pandemic/