Finance

A Nebraska borrower with a DTI of 45% for a conventional loan application would typically:

AEasily qualify under conventional guidelines
BFace challenges as it exceeds typical 36% back-end guidelines without strong compensating factors✓ Correct
CBe required to use an FHA loan instead
DHave no issues — DTI is not considered for conventional loans

Explanation

Conventional loan guidelines typically limit the back-end DTI to 36% (some lenders allow up to 43–45% with compensating factors). A 45% DTI may require strong credit, assets, or other factors for approval.

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