Up until recently, it was really unknown as to the criterion banks were using to evaluate loan modifications for approval. As time passed and the popularity of modifications exploded, a consistency in the approval process became evident. The calculation or formula is called the DTI (debt to income) ratio. The DTI is the relationship between an individual's monthly income divided by their monthly expenses.
The magic number is somewhere between 31%-40%. Basically, for a loan modification
No comments:
Post a Comment