Does My Spouse Need To Go On The Loan?

The determination of whether or not your spouse goes on the mortgage with you depends on a couple of things such as whether you reside in a community property state and the type of loan you are applying for.

Below are the guidelines for community property states:

FHA/VA - One spouse may obtain a loan without the other spouse being a party to the loan.  However, in community property states both parties are responsible for debt.  Therefore, the debt of the non-borrowing spouse must be considered and factored in to the debt to income ratio for the borrowing party. To do this a credit report is pulled for both parties to be sure all debt is considered.

Conventional - There are no specific requirements but may be bank overlays.  The non-borrowing spouse's debt is not used. This type of loan is typically used where the non-borrowing spouse may have a high debt ratio, outstanding collections or a poor credit profile.