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Author: crackdclaw Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 127545  
Subject: Re: Current Underwriting Standards? Date: 2/6/2014 12:40 PM
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Current conforming back-end ratios (housing and consumer debt) are tight at 45% Portfolio guidelines allow for 50%, with at least 20% down.


Surprised by this answer Dave. I'm working with the understanding that Fannie / Fredie guidelines for a QM (Quality Mortgage) has a hard stop back end ratio of 43%. As you mention, non-QM loans held for investment allow for a higher DTI with compensating conditions.

I did not believe the QM rato of 43% was my bank's overlay guideline, but an industry wide guideline. Are you still originating conforming Fannie / Freddie with a 45 DTI?
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