Fannie Mae Changes Job-Transfer Rules

Just as everyone from the government to the Realtor groups are doing everything they can to improve the housing market, Fannie ZMae has put another cog in the machinery,
changing the rules about how it considers income from a spouse or partner who moves without a job.
Under the old rules, when a company transferred someone or an employee accepted a new position that entailed a move and the spouse or partner quit his or her job to come along, Fannie Mae would count at least part of that person’s income when considering a mortgage application.
But now, Fannie will no longer count the income of what it calls the “trailing spouse” until that person actually finds a new job and has a paycheck in hand.
They blame the current economic and job market instability, and claim that it is in the interest of safer underwriting, since this income would only be anticipated and undocumented.
Worldwide ERC, the international trade association representing the employee relocation industry, said Fannie's decision makes the current challenging relocation environment even more so. Some transferees will have to qualify on the basis of one income, forcing couples to buy less house than they wanted, or to rent for an extended period of time until the spouse or couple is re-employed.