Can I get a mortgage with student loans? - Movement Mortgage Blog

Going to college these days almost always means insurmountable debt. Yikes, right? But post-undergrad life means trying to learn how to adult. And with that, possibly homeownership. But… more debt? Can I get a mortgage with student loans? Read on to learn what your options may be.


Student loan debt facts

Student loans are one of the easiest loans to be approved for. And also, to many’s surprise, one of the easiest to work with on paying back. When it comes to any other financial decision, a lot may wonder: Do student loans hurt your credit score? The answer to this is pretty basic – as long as you’re staying on top of them, then no. You should be in the clear. Now take note: This may not always mean forcing yourself to commit to monthly payments no matter what (and no, I’m not telling you that you shouldn’t pay your student loans). But if you’re running into difficulty making payments, it’s crucial for you to have an open line of communication with your student loan servicer in order to work out a solution. 


Getting a mortgage with student loans

Student loans are often some of the most flexible debt to work with, so talking with your servicer is key. Communication with them to see what your options may be will be crucial to your student loans staying in good standing. Keeping your head buried in the sand, hoping it’ll just pass you by, may be what ends up you having a negative impact to your credit score. And then to any other types of financial decisions. Like an attempt at getting a mortgage with student loans. If you miss payments, or allow yourself to go into default, it will, in fact, hurt your credit. Which will hurt your application when applying for a home loan. If you keep up with them, then showing you’re responsible with debt will actually increase the probability for a mortgage approval.


can I get a mortgage with student loans

High student loan debt and buying a house

But what if you have a lot of student loan debt, right? It can feel concerning or burdensome to worry about your financial standing if you have high student loan debt and you’re looking to buy a house. It sounds like a lot of debt. The biggest thing to worry about in this situation is still making sure your student loans are in good standing. Whether that be a payment schedule or in an official deferment. Outside of that, being comfortable with the overall payments you’re now committing to. Regardless of your student loan debt, you have to live somewhere. So if you’ve been renting, owning a home may be what helps alleviate your monthly spending anyways. 


Getting a mortgage with student loans in deferment

Is a home loan still possible, even with student loans in deferment? The short answer is yes, it is possible. Though the main thing to keep in mind is checking with your lender that the loan type you are going for doesn’t involve any strict requirements. FHA loan guidelines, for example, state that student loans in deferment cannot be excluded from your debt-to-income ratio, as mentioned by HousingWire. What does that mean? Even though you’re not currently making payments on them, they will still be included in the calculation to see what the comparison between what you make and what you owe is. Which helps determine what you may be eligible for. 


In other words, getting a mortgage with student loans is in fact possible. Most of what you will have to work around will include what loan type you’re looking for, your financial history, and whether your student loans are in good standing. Communication with both your local loan officer and your student loan servicer will be crucial to an easier journey to homeownership.


About the Author:

Adam O'Daniel

Adam O'Daniel is Movement's Communications Director. He leads corporate communication and public relations efforts across the organization. Email him at