VA Home Loan Debt to Income Ratio and Your Mortgage
VA Home Loan Debt to Income Ratio and Your Mortgage The VA home loan is considered by many to be a viable option for those seeking a mortgage. However, there are some aspects of the home loan that are often overlooked. The most important thing you should know when applying for your VA home loan is your VA home loan debt to income ratio. The debt to income ratio, or DTI, is the amount of money you owe on your VA home loan versus your income. Typically, your VA home loan debt to income ratio is higher than your mortgage or other loans. What's going on here? This is an important aspect of the home loan, because if you have a high DTI, your monthly payments will be higher as well. The situation arises because the VA home loan does not allow borrowers to refinance their loans at a lower interest rate. But the fact that it doesn't allow this is a good thing because if you only have a high DTI, you'll end up paying more than you should and that's bad for your cred...