Relocating recently got tougher for dual income couples. Chicago’s Daily Herald reported today that Fannie Mae “no longer will permit mortgage applicants to count the income of so-called “trailing spouses” toward the household income needed to qualify for a loan. A trailing spouse is the one who joins his or her spouse or partner in a job-related move, but who has yet to obtain employment in the new location.”
Previously mortgage companies would count part of the trailing spouse’s income in the prior location even if he or she hadn’t secured employment in the new location. Now with a tougher job market, it can take longer for the trailing spouse to find employment, so Fannie Mae doesn’t want to make any assumptions about his or her income.