Chances of qualifying for USDA guaranteed home loan

[Anonymous]

No they won't use her income for DTI as she has no legal obligation to pay the loan if she is not on the mortgage (unless it is a community property state) but they will use any income from anyone in the household for eligibility purposes (to make sure you don't exceed income limits.)

[Anonymous]

I don't think so. They will only count your debt and income. They will however count her income to qualify for the usda loan. They count household income for that.

[jg1983]

If I put her on the loan and she has no credit how will that affect things? Without her on the loan my dti jumps to about 35%. Is that too high?

[Anonymous]

They will use the lowest middle score to base approval. If she has no score then I am not sure how that would effect things.

[Anonymous]

DTI backend (with proposed mortgage) or DTi just current obligations?

29/41 is USDA unless there are exceptions that can be made (posted on the other Usda thread) and need a 680 middle score.

[kjade1030]

640 is needed for USDA without doing a manual underwrite which you DO NOT want to do since you already have a 631.  Feel free to email me what your credit is like, and I am sure i can tell you how to get above 640.  Your wife's income will count as far as meeting the income limits, but will not help with calculating dti.  At 35% you are good to go though.  Income limits vary a ton based on where you are located, but they are all listed on USDA's website if you click eligibility.  Let me know if you need help and good luck!