For almost all loan programs if an individual is not listed on the mortgage then his or her income is not factored into the loan application. The exception to this rule is the HomeReady Mortgage Program, which permits the use of several non-traditional income sources to help applicants qualify for the loan.
Specific to your question, HomeReady allows the use of income from non-borrower household members as a supporting factor for the applicant. This is income from a relative, including potentially a spouse, who resides in the property but who is not listed on the mortgage. In this case, the income is used to bolster the borrower's application. For example, your spouse's income may be considered by the lender and used to solidify your loan application. Please note that income from the non-borrower household member, your spouse in this scenario, is not added to the applicant's income but it can provide a helpful nudge if your application is on the border in terms of being approved. Additionally, only the applicant is listed on the mortgage note so you would be solely responsible for the loan. We provide a comprehensive overview of the HomeReady Mortgage Program for your to review.
The HomeReady Mortgage Program is offered by participating lenders. I recommend that you contact multiple lenders to determine if they offer the program and to understand how they would handle your unique situation. You can review lenders in your area on the table below. We advise you to contact at least five lenders as program availability and qualification guidelines vary.
You can also use the FREEandCLEAR Lender Directory to search for lenders by state, lender type and loan program. For example, you can search for lenders in your state that offer the HomeReady Program.