Expert: Lisa Webber - 6/17/2010

Question
My husband is getting financing and we are in the middle of trying to buy a house.  We haven't got the appraisal amount yet so can't go any further.  I am worried that because were married the title has to be together.  Will my judgment stop us from getting the house?

Answer
You do not have to be on the loan, even if you are married.  You can be on the deed to the house without being on the loan.  If your husband makes enough money to qualify for the loan and his credit is good enough to qualify, you can do the loan in only his name and then do a "quit claim" deed at settlement and have the title company put your name on the deed to the house.  This is very commonly done.  If you do need your income in order to qualify for the loan, the judgement will not automatically stop you from getting the loan.  It will depend upon overall credit, when the judgement was, etc.  You may have to pay off the judgement in order to qualify though, depending upon the underwriting requirements.  At the very least you'll have to do a letter of explanation describing why you have the judgement.  In many cases they will require you to pay if off before they will approve the loan.  I hope this helps.  Let me know if you would like any additional clarification, ok?