401k loan count as debt?

Does 401K loan count as debt since it is loan to yourself? I read an article that underwriters don’t count it? Please advise. Thanks.

I’ve had a 401k loan before. It didn’t show up on my credit report. However, different underwriters have different criteria. From a realistic perspective, unless you plan on defaulting on your 401k loan, you should count it as debt. This way you won’t be getting too far into debt.

I have never had a situation where an underwriter counted it as debt. Usually, the only thing that they look at is the amount available in the account as an asset/reserves.

401k loans do not count towards liabilities whe doing conforming Fannie Mae loans.