Fannie Mae has recently announced new policies aiming to help borrowers with student loan debt better qualify for a mortgage, and realize the second part of their American Dream.
Vice President of customer solutions Jonathan Lawless said:
“We understand the significant role that a monthly student loan payment plays ... and we want to be a part of the solution. These new policies provide three flexible payment solutions to future and current homeowners and, in turn, allow lenders to serve more borrowers.”
The new policies include:
Student Loan Cash Out Refinance – This option provides the homeowner with extra cash, affording them the opportunity to pay off student debt while refinancing to a lower mortgage interest rate.
Debt Paid by Others – This option increases a borrower’s eligibility by eliminating non-mortgage debt (e.g., credit cards, auto loan, student loan) that is paid by someone other than the borrower.
Student Debt Payment Calculation – This option allows a lender to view and consider student loan payment information on credit reports - it makes borrowers with student loan debt more likely to qualify for a loan because their situation can be analyzed in its entirety.
Call me for a referral to a lender who can help you navigate the new policies and determine if there is help for your home ownership dream.
Dave Genevich is a professional Realtor® specializing in Residential Real Estate in Colorado Springs, Monument, Peyton, and the entire Eastern Pikes Peak Region, including housing for those stationed at Fort Carson, Peterson AFB, Schriever AFB, Cheyenne Mountain Air Force Station and the Air Force Academy.
Contact him at (719) 337-0300 to find your ideal home, or to sell your home as the first step in your next adventure!