If you’re thinking about buying a home and you have student loans, one of the most common questions is whether those loans will count against you in the mortgage approval process. The short answer is yes—student loans are almost always included, even if they are currently deferred.

Understanding how student loans are calculated can make a big difference in whether you qualify for a home loan and how much home you can afford.

Do Deferred Student Loans Count Toward a Mortgage?

In most cases, deferred student loans are still counted when qualifying for a mortgage. Lenders must account for future repayment obligations, even if payments are not currently required. This is especially important for borrowers with multiple student loans or large balances.

How Student Loans Are Calculated by Loan Type

The way your student loans are counted depends on the type of mortgage you are applying for. Each loan program follows different guidelines.

FHA and Freddie Mac Loans

For FHA loans and Freddie Mac conventional loans, lenders calculate your student loan payment using 0.5% of the outstanding balance. This calculated amount is used as your monthly obligation, regardless of whether the loan is deferred.

For example, if your total student loan balance is $50,000, the lender will count $250 per month toward your debt-to-income ratio.

Conventional Loans Using Fannie Mae

Fannie Mae guidelines are more conservative. For these loans, lenders calculate your student loan payment using 1% of the outstanding balance unless a fully amortized payment is documented.

Using the same $50,000 balance, $500 per month would be counted toward your qualifying debt.

Why Multiple Student Loans Matter

Many borrowers don’t realize how quickly student loan calculations can add up. If you have several individual loans—five, ten, or even more—the combined calculated payment can significantly impact your debt-to-income ratio, which is one of the most important factors in mortgage approval.

Even borrowers with strong income and credit can be pushed over qualifying limits if student loan balances are not reviewed early in the process.

Planning Ahead Makes a Difference

If you have student loans and are planning to buy a home in Texas, it’s important to review your loan options before starting the home search. In some cases, choosing the right loan program or documenting repayment terms properly can improve your ability to qualify.

A mortgage pre-approval allows you to understand how your student loans affect your buying power and helps avoid surprises once you’re under contract.

Talk to a Local Texas Mortgage Expert

Student loans do not automatically disqualify you from buying a home, but they do require careful planning. If you have questions about how your student loans impact your mortgage qualification, Liberty Star Mortgage in Fulshear, Texas can help you evaluate your options and create a strategy that fits your financial goals.

Reach out to Collette Horton to review your student loan situation and determine the best path forward for homeownership in Texas.