QUESTION
If I am applying for a home loan on my own, why are they asking me questions about my husband?
Asked on Aug 09th, 2012 on Estate Planning - California
More details to this question:
I am applying for a home loan and my husband is not on the loan. Why are they asking me questions regarding him, especially his child support? We do not have kids. The child support is from previous marriage.
19 ANSWERS
Bankruptcy Law Attorney serving Huntington Woods, MI
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Austin Hirschhorn, P.C.
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The mortgage lender wants to find out as much information about you and your ability to pay if you are the responsible party on the mortgage.
You might not have a high enough credit score or a good enough credit history to be eligible for the home loan without a co-maker.
I am sure that is why they are asking about your husband since he probably will be living in the house with you. You should ask the mortgage broker why they are asking about your husband and see what they tell you.
Answered on Aug 26th, 2012 at 9:33 PM
If you live in a community property state, or in a marital property state, then both spouses can generally be held responsible for debts incurred during marriage.
Therefore, the bank has a valid legal interest in your husband's assets and income. However, if you have a marital property agreement (i.e., a "pre-nup") in place, then you may be able to avoid providing your husband's information.
Answered on Aug 15th, 2012 at 2:17 PM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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Because they assume you will support your husband if he does not have any income and pay his debts.
Answered on Aug 15th, 2012 at 2:16 PM
Probate & Trust Attorney serving Fort Lauderdale, FL
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Robert J. Slotkin
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If the home is going to be jointly owned they will want him to sign the mortgage as well.
Answered on Aug 15th, 2012 at 2:16 PM
Elder Law Attorney serving Hollister, CA
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Charles R. Perry
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You would need to ask the lender to be sure, but any debt acquired during the marriage is considered a community debt.
You and your husband are equally liable for that debt, even though you are listed as the sole debtor. The questions regarding him therefore are relevant to the ability of both you and your husband to pay that debt.
Answered on Aug 15th, 2012 at 2:16 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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Make it clear that you are applying on your own with property which is in your name only for security.
Answered on Aug 15th, 2012 at 2:15 PM
They are inquiring because in California debts incurred during marriage are generally community debts for which both parties are responsible. You should consult a real estate attorney to review your paperwork to assist you in how to respond to these inquiries.
Answered on Aug 15th, 2012 at 2:15 PM
In a community property state, such as Nevada, his debts are your debts. If he has a lot of debt and/or is behind in his child support obligations, that reflects on your ability to pay.
Answered on Aug 15th, 2012 at 2:15 PM
3 Awards
If you live in a community property state, like Nevada, absent a prenuptial agreement to the contrary, of your income is considered in determining his ability to pay child support.
Answered on Aug 15th, 2012 at 2:14 PM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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They are probably trying to determine if you have any other financial obligations that might prevent you from paying on the loan. (This is true, even though you are not personally liable on the obligation.)
Answered on Aug 15th, 2012 at 2:14 PM
Leonard A. Kaanta
Because they want him on the loan.
Answered on Aug 15th, 2012 at 2:14 PM
Real Estate Attorney serving Williamstown, NJ
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Law Offices of Slotnick & Schwartz
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They may be trying to see if his income is needed for you to qualify. I would take the position that my husband is not involved and that you should be able to qualify on your own. Your husband should not be involved unless his name is also on the title.
Answered on Aug 15th, 2012 at 2:14 PM
Probate Attorney serving Arlington, TX
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Law Office of Eric J. Smith
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In Texas, both spouses income during the marriage is considered community property, and the assets purchased with that income are community assets. The fact that you are exclusively applying for the loan will not change the potential claim your husband has on the house, in the event of your death or the dissolution of the marriage. So the lender has an interest in knowing what income both you and your husband make, and the offsets, like child support, to that income. You are not required to provide that information, but your lender is not required to give you a loan, so long as they are not in violation of the Equal Opportunity in Lending Act or other applicable laws. On Thu, Aug 9, 2012 at 11:41 AM, Question From LawQA wrote: > ANSWER A QUESTION THAT WILL BE DISPLAYED ON TEXAS ESTATE PLANNING WEBSITES > ON THE LAWQA NETWORK. > > LAW AREA: ESTATE PLANNING > STATE: TEXAS > ID:74871 > > Question: If I am applying for a home loan on my own, why are they asking > me questions about my husband? > Question Detail: I am applying for a home loan and my husband is not on > the loan. Why are they asking me questions regarding him, especially his > child support? We do not have kids. The child support is from previous > marriage. > > *********************************** > To answer this question, please just reply to this email. The original > content and subject should not be modified, otherwise your answer will not > be valid. Eric J. Smith 2310 W. I-20, Ste 206 Arlington, Texas 76017 ph: 817-860-2800, f: 817-860-2801 http://www.midcitieslaw.com
Answered on Aug 15th, 2012 at 2:14 PM
Thomas Edward Gates
Washington State is a community property state; hence, when purchasing real property (e.g., house) one's spouse would normally be on the title.
In your case, your husband will likely be asked to sign a Quitclaim Deed at closing so that there is a formal record of his release of interest in the house.
The bank is trying to determine all available income sources to see if you qualify for the loan. It is normal to ask about the other spouse income and debts, even if not on the loan.
Answered on Aug 15th, 2012 at 2:14 PM
You will have to ask the lender why they need the information.
Answered on Aug 15th, 2012 at 2:13 PM
It is illegal to require a woman's husband to co-sign or guarentee her loan. However, since you are married, the lending institution is going to want to know if he has any debts or obligations that might impact your ability to pay the mortgage. Child support can eat up a huge portion of someone's income and lasts until the child(ren) reaches the age of majority. That money will not be available to help pay other living expenses or cover emergency costs.
Answered on Aug 15th, 2012 at 2:13 PM
Criminal Defense Attorney serving West Allis, WI
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Glojek Limited
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Several reasons. One, as a spouse, he has homestead rights, and possibly survivorship rights, should you pass away. Second, they understand that you are a family and money spent in other places means that it may not be spent on repaying them their money.
Answered on Aug 15th, 2012 at 1:16 PM
Business Transactions Attorney serving Los Angeles, CA
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Doland & Fraade
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It is because California is a community property state and the title to the property (the collateral) and the source of repayment of loan proceeds both raise community property issues.
Answered on Aug 15th, 2012 at 1:15 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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The lender looks at basically two things: value of the property to be acquired versus the loan being sought, but more importantly the source of the income to pay the loan. It may be your total after tax income is not sufficient to cover the loan payments and your other household debt you are responsible for and leave an adequate reserve for emergencies and other daily living expenses. Hope this helps. I would suggest you seek the services of a good loan/mortgage broker for a better explanation; loan brokers are usually paid by the lender and can be very valuable in aiding you through the loan process to obtain the desired loan you are seeking.
Answered on Aug 13th, 2012 at 3:23 PM