"Can overtime be counted?"
Depends. They'll look at check stubs and W2s. If they see it as a constant over many pay periods, your good.
"Does wife go on application if unemployed?"
No.
" Bought the car when we had no credit so it has an interest rate of 17.99, we owe a little over $5,000 left. Should we refinance? Will refinances disrupt/hurt the approval process? Should we use our savings to pay it completely off then go for the morgage loan? "
I'd pay that off. That 5000 is drawing about 1.5% in a savings account, while you're getting stiffed for 18% on whatever the balance is. You'll take a short term hit on your score, but who cares, when you'll save money in the short and long term. With the car paid off, turn around and use the payment you were paying to that shister, and pay yourself, and soon you'll have that 5k back.
"Can the tax return be counted towards downpayment?"
Yes. I mean you can't point to your 1040 and say, "Look here, I have this IRS money coming for the DP." When its in the bank, then you can use it. You just have to show where it come from, because they're gonna ask. Keep track of the dates and bookmark it so you can go back and print it out when the time comes. But maybe you have a LO officer who will pre approve ya if you promise to use your refund for the DP?
Keep in mind I'm not a mortgage pro, but your income might be a little light for a 234k mortgage. At 52k, uphill battle, but if you can consistenly show over 60, you're in the game. You might need one more year. I dunno much, but if I see 52k, 59k and then 65k, I might wanna see what happens in 2015. You can be approved for loan, but maybe just not for 234k.
