I posted this question in a response to another question I had under the Credit Card section, but this is a more appropriate section to post it in.
I have a credit score above 750, until recently we didn’t realize that my wife has literally no credit. My credit history is 6 years long, had a CC for that time with no late payments. As of today my wife is a joint holder of the account but I understand this will take some time be reflected on her credit. We are looking to buy a home in the next 90 days in Texas. I’ve been told I have a few options, looking for feedback or other options from this great community.
Option 1, apply for the loan by myself without joint titleship. The problem with this is I will be going to school under the GI Bill and my only source of income by myself would be the BAH (more than enough to cover any mortgage) but I understand why a lender wont accept this “short term” income. If I go this route would I be able to include my wifes income, as she will be working, as an income on the loan application even though she wont technically be part of the application?
Option 2, apply for the loan jointly and explaining in the comments area to the underwriter that though she has no credit currently we are working to fix that by having her jointly on my good standing credit card. This way we could include her income as joint income.
My wife and I have literally no debts (cell phone bill if thats even considered) to include any credit card payments, the CC is paid off in full every month and the debt limit ratio is never above 35% at any given time. One of my many concerns is a gap in employment, I understand why lenders want to see 2+ or at least steady employment before giving a loan out, but I’m curious if there will be any leniency given my situation that I just in the past week seperated from the military and moving back to Texas. Thereby my wife has to quit her job and get another in Texas. Of course we wont apply for a loan until she has a job, but as long as her job is in the same current field shes in now will we run into any issues on that front? Between my BAH and her salary we will combined make more than enough to pay a mortgage on a 250k home but its trying to convince the loan officer that will be our downfall I think.