My banker told me that any loans that will be paid off in less than 10 months are not included in calculating debt to income when applying for a mortgage. My auto lease is 36 months, and I have 24 months remaining. If I pay extra money each month to get ahead until I have 9 payments left, then apply for a mortgage, will the monthly lease payments be ignored from the debt to income ratio despite the actual end date of the lease being farther out than 10 months?
Kind of a weird question, I know.
2007-10-22 15:38:28 · 0 answers · asked by Erik 2 in Business & Finance ➔ Credit
Once the auto lender updates the credit report to show you have 9 months of payments left, then the auto payment won't be included in your debt-to-income ratio...
IF the mortgage lender chooses to ignore leases. Some creditors count lease payments until they're gone.
2007-10-22 16:10:04 · answer #1 · answered by Debdeb 7 · 0⤊ 0⤋