Note what’s said here – that front and back end ratios are not being used by HUD’s automated scoring system. TOTAL, in fact, uses only payment-to-income – and ignores the back-end ratio.
FHA IS IN DIRECT VIOLATION OF THE LAW. Among other things:
§203.33 Relationship of income to mortgage payments.(a) Adequacy of mortgagor’s gross income. A mortgagor must establish, to the satisfaction of the Secretary, that his or her gross income is and will be adequate to meet (1) the periodic payments required by the mortgage submitted for insurance and (2) other long-term obligations.
It’s not a suggestion folks. It’s a black-letter requirement, and HUD is intentionally ignoring it.
Much of that audit report is blacked out (gee, why can’t we see it?) but enough is there to establish beyond any doubt that the FHA and HUD are intentionally violating the requirements of both statute and the implementing CFRs.
Why is it that you should honor and obey the law again when your government will and does intentionally violate it?