Student loans can help get you through school, but the years after they can become a pain.  Don’t worry though!   If you’ve been thinking about getting a house, student loans won’t necessarily lock you out of getting a mortgage.

How are my student loans evaluated?

Ok, so how do student loans affect your chances of getting a mortgage?  In short, student loans aren’t special or considered differently.  Lenders will look at your debt, income, and monthly expenditure to gauge whether or not you qualify for a loan and how much that loan can be worth.

These are measured off of your debt-to-income ratio, or DTI.  Your DTI is basically stacks your monthly debt or payments against your gross monthly income.  (This is also usually before taxes are taken out.) This helps lenders evaluate whether you can handle another monthly payment added to your budget.

We have a guide to help you figure out your debt-to-income ratio – check it out here!

What if I’ve deferred my student loans?

Even though you are not currently making payments, your deferred student loans will still be calculated into your DTI.  So really, deferring them doesn’t change what the lender will view as your monthly budget.

What can I do to successfully get a mortgage with student loans?

Don’t worry!  If you have a reasonable monthly payment on your loans, a decent paycheck, and you apply for a loan within your budget, it shouldn’t be too difficult to get a mortgage.  We recommend doing the following to make sure your application looks as neat and tidy as possible:

  • Make on time payments. This will show your reliability, which is key.
  • Have adequate reserves in your bank account. Don’t move that money around for a few months before you apply.  Lenders look for you to be able to handle things like home repairs that pop up without having to miss a payment.
  • Save for a down payment! Have a plan to save for a down payment. Ultimately, the higher your down payment, the sooner you can get rid of PMI (private mortgage insurance) which will decrease your monthly payments.


If you’re looking to get a mortgage, give us a call!  We’re a Christian Mortgage Lender that values the same things you do – faith and family.  We’d love to help you find the perfect home within your budget, or answer any questions you have.



The Christian Mortgage Mom