On a BofA Short Sale, is the spouse's income included if they are not on the loan & not on title to the property?

I have a Seller that has a 2nd home.  He is short selling the 2nd home, keeping his current residence.  Wife is not on the loan and not on title to the home being short sale(d). (actually, not on the current home loan either)  Question, on the BofA online financial information that the Seller/Borrower completes, must the spouses income, etc. be listed?

 

   

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I would say yes if it is on the taxes. The truth is that once it is put in equator, I dont think they look at that information. I did it twice. The first time equator kicked us out for some glitch, and at that time I put wife only who was on the loan. The second time, I put both. I am not sure they really look at the info. They just want you to put the info in equator. But, if they did review it and the taxes show the homes, then at least you are covered. I dont see it hurting anything unless they make a whole lot of money and the bank thinks they can afford to pay the deficient amount. You know they will milk you for everything. The one important piece to note is the bank acct info. If they have loads of money the bank might catch that. I feel like they are so overwhelmed that they dont even pay attention. I was told by a BOA rep that they almost NEVER read parts of the file like the sob story letter they make folks write. They simply have a check off list and want to make sure the file is complete, but reading it, UH, probably not. Again, a BOA rep told me this. Not sure if it is true.
Appreciate the feedback Claudine. This is a tough one. Just don't want to provide information BofA isn't entitled to. Spouse is not on the loan and has no obligation for repayment.
The simple answer is no. No on deed, not on loan, not included in short sale financials!
Thanks, Kent. That is my feeling.
Darla,
I personally had that in my home but it was not B of A and we did not include my income as I was not on the note. ON all of my B of A short sales I have not included the spouse that was not on the note. I did however encourage the spouse that was not on the note that she might want to keep her money separate. Not sure If that was appropriate but know that is what my husband and I did.
So the long and short of it just as in bankruptcy the spouse that i snot on the note is not included.
karen

ps. according to our lawyer they have NO right to the spouse's information that is not on the note and therefore NOT responsible. Remember in the state of Florida at least each spouse has their own credit as well
Just remember they dont have to have it because there is no obligation, but I think they ask for household income. And, since they dont read the file, they wont know. If they did review the file, they would ask for the spouse. It would show up on the taxes. BOA is disorganized. You could do a dummy file and they wouldnt know their head from their toes. I ended up adding both because we didnt want any trouble. I know they dont look at the stuff because once we didnt do it and the second time we did it. Nobody said a word! Good luck.
It actually is no. Kent is correct. It is not a "must." There is no fraud here. Whether the wife contributes or not is not relevant because the LOAN is under husband's name only. This is consistent with the procedure of one applying for a mortgage and using spouse's income to qualify. Only way to use the income is to bring spouse into loan process and subject spouse to the underwriting guidelines. Spouse has no legal commitment to the Lender because there simply is no contract between spouse and bank.The guise of "household income" is a subtle way to circumvent this fact, wherein the lender can now, possibly, separate expenses and "requalify" borrower, sinking your short sale. You work for the borrower, not the lender. Lender can't have it both ways. Don't do it.
No, if the spouse is not on the deed and not on the loan obligation then the answer is no regardless if she is on the taxes.
Thank-you everyone for your input. The consensus here reaffirmed my thoughts that the spouses income is not required.
I have had a lender (not BofA) specifically direct me to only include the person on the loan. In that case the wife had the loan, and both were on title. The bank instructed me to only include the income from the wife.

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