The short answer
Their income helps you qualify, and their debts and credit score count too. On a single-family home you can still put 3.5% down. On a duplex, triplex or fourplex, FHA limits the loan to 75% of the value when one borrower will not live there.
What changes, at a glance
| Item | What happens |
|---|---|
| Income | Your parent's income is added to yours. |
| Debts | Your parent's monthly debts are added too. |
| Credit score | The lower of your two deciding scores is used for the loan. |
| Down payment, one-unit home | As little as 3.5%, if your parent is not also the seller. |
| Down payment, two to four units | At least 25%. |
| Responsibility | Your parent owes the loan the same as you do. |
The property type matters most
This is the part people miss. The 3.5% option with a family member who will not live there is for one-unit homes. For a three-unit property, for example, the loan is capped at 75% of the value.
When a co-signer does not help
- Your parent's score is lower than yours. The lower score decides the down payment rule.
- Your parent has heavy debts. They are counted along with the income.
- You have no credit score. On a manual review of borrowers with no score, FHA does not count a non-occupant co-borrower's income.
- You want CalHFA MyHome help. It does not allow non-occupant co-borrowers.
What I see in real files
Jamal's own words go here: two to four sentences on what he sees in real files like this. Claude does not write this part.
Questions people ask next
Is a co-signer different from a co-borrower?
People use the words loosely. This page is about a family member who signs the loan and is fully responsible for it.
Can a friend or partner do this?
If they are not a family member under FHA's definition and will not live there, the loan is limited to 75%.
Could my parent give a gift instead?
Yes, with a signed gift letter. A gift helps the down payment but does not add income.