When getting a mortgage loan, does the student loan affect my eligibility?

Irvine CA said:
I am planning to buy a house ($700,000 value), zip code 92618. how much should I expect to pay for down payment, in the current economy, and other fees?
The monthly amount (debt) will direct reduce the amount of monthly mortgage payments you can afford.
* To avoid PMI – put 20% down.
* Private Mortgage Insurance can cost thousands a year.
* It is not tax deductible, and does not go towards principal or interest.
* It's like throwing money away, year after year

Franklin Advantage:
A student loan monthly payment does affect your ability to qualify. It does not affect you any more or less than any other monthly payment (think car payment or minimum credit card payment). A student loan in default will preclude you from getting a FHA loan. A student loan in default will also negatively impact your credit and may hurt your ability to get any mortgage loan.

The lowering of maximum loan amounts on October 1st will directly affect your purchase of a home for $700,000 in Orange County, California. You best hurry!

FHA and Fannie/Freddie maximum loan amounts in LA and Orange Counties are dropping as of October 1st ot $625,500. If you choose to buy a home using FHA and can close before October 1st, 2011; you can buy your home with only $24,500 (3.5% down payment). But after, (because of the maximum loan amount) the minimum down payment for a $700,000 home will be $74,500.Conventional Fannie/Freddie loans are available to the best qualified borrowers at 90% of the sales price.

If you choose conventional financing and  can close before October 1st, 2011; you can buy your home with  $70,000. After October 1st you will need $74,500 again, because of the maximum loan amount change.What you can expect to pay for the loan depends on what loan program you choose and at what rate you choose. Talk to a Loan Officer about this.If you choose an FHA loan, taxes and insurance will be required to be part of your payment. The impound account will need to be set up and will probably cost you between $6,500 to $8,000 (depending on the first payment date of your new FHA loan). Again, talk to a Loan Officer about this.

In California, impound accounts are not required on conventional loans at and under 90% of the sales price/value.What you pay in escrow and title fees will depend on which escrow and title company are used. I estimate you will pay $2,250 in escrow fees and a $1,000 in title fees on a $700,000 sales price.There will be other fees. Recording, HOA transfer fees, etc. Again, please call a Loan Officer. A good Loan Officer can present you several options with an estimate of your costs.

http://www.thefranklinadvantage.com/Purchases.php