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Trading in for lease and Home Loan
I am looking to purchase/refinance a home within the next 3 months. I have good credit (Experian - 779, Transunion - 762, Equifax - 736). I am financing a car with 2 more years left with a balance of $14k and my monthly is $535 per month. The value of it is more than the loan (about $3k) but I feel like the car is going to have major issues because it has 150k miles on it and the maintenance on the car along has been around $2k a year. If I can trade it in for a lease with a lower monthly payment (i.e. $300 to $400 per month) will this help or hurt my chances of getting approved for a home. I would think it would help since I am reducing my DTI ratio but I also think it would hurt my chances since I am applying for a lease. My current DTI is 35% (net monthly income $4,500). The loan for the home will be about $400K which will probably around $2k a month). Please help! Thanks!

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