What the new mortgage rules mean for you

real estate6
Lenders must determine that a borrower has the income and assets to afford to make payments throughout the life of the loan.  To do so, the lender may look at your debt-to-income ratio.  To calculate your debt-to-income ratio, add up all your monthly obligations — including student loan, credit card and car payments, housing costs, utilities and other recurring expenses — and divide it by your monthly gross income.  To make sure you aren’t taking on more house than you can afford, your debt-to-income ratio generally must be below 43%.
Read article – CNN Money

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About dherries
Dave and Sally Herries and The RealtyColorado Team - Real Estate Broker serving the metro-Denver area. Offering properties in urban, sub-urban and rural areas. Our mission statement is "Enriching lives through real estate."

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