USDA Direct Loan and Student Debt (credit report, student loan, payments, salary)

[junco]

My husband and I are in the process of applying for a USDA Direct loan. I just submitted the prequalification form and now I'm nervous. I am currently unemployed, so my hefty student loans are on deferral. My husband is going to try to defer his. We are also making tax payments to the IRS. Using my husband's salary only, we fall under the "low income" limit for a family of 3.

Can anyone share what this situation could do to our chances of getting a direct loan?

Thank you.

[Pfhtex]

First, what state are you purchasing in? You should likely not be on the loan. Need to know his total Gross income and all monthly debts on his credit report, where you are buying, price range.

[scorpio516]

Even on deferral, the USDA estimates your loan at 1/100th total balance as monthly payment. Unless you show otherwise.