Even if your spouse or significant other has poor credit, it will not affect your credit rating unless you have joint accounts. Their bad credit will affect you however, when you go to apply for a loan together, including mortgages. When applying for a mortgage, lenders will look at both of your credit scores. If one of you has a low credit score this could affect the type of loan you qualify for, the amount you qualify for, as well as the interest rate you will receive.  

If you decide to apply for a mortgage without your partner this may also have negative effects on your mortgage. Usually couples apply jointly in order to get a higher loan amount. If only one partner applies, only their income and assets will be used to determine the loan amount. If the partner with good credit has a substantially higher income, applying alone might make sense. 

In order to improve your financial standing as a couple you need to repair your partner’s credit. Avoid joint accounts as these can affect both partners’ credit scores. Instead help build your partners score up by adding them as an authorized user. Help your partner with budgeting in order for them to pay down debt balances faster.

Don’t hesitate to contact me with all of your mortgage questions. I am here to help you find the right mortgage solution for you and your family.