In mortgage terms, IBR stands for the Income-Based Repayment plan. This is a repayment option for federal student loans where the monthly payments are typically set at 10% to 15% of your discretionary income, depending on when you became a borrower. This amount is then divided by 12 to get a monthly figure. An applicant’s IBR payment amount can impact their debt-to-income ratio, which is a critical factor lenders consider during the mortgage application process.