New Mortgage Rules for Those with Student Debt

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New rules could make it tougher to qualify for a low down payment mortgage from the Federal Housing Administration, particularly with respect to down payment gifts and deferments associated with student loans.

Questions:
1. What is the role of debt-to-income ratios in this story, as they related to student loans?
2. What is the old rule as opposed to the new rule for student loans being factored into FHA mortgage applications?
3. According to the FHA spokesman, why are the rules changing to make it harder or not as attractive to buy a house through FHA when a person has student debt?

Source:
Harney, K. (2015) New rules make it tougher for people with college loans to buy houses. The Washington Post, Sep. 15 (Retrievable online at http://www.washingtonpost.com/realestate/new-rules-make-it-tougher-for-people-with-college-loans-to-buy-houses/2015/09/15/a31a940a-5b0c-11e5-b38e-06883aacba64_story.html).

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