You Didn’t Establish Credit
If you have established credit by being added as an authorized user to someone else’s credit card, and have no seasoned, open credit of your own, you might get denied for a mortgage loan. “The underwriter will determine that the credit report is not an accurate reflection of your credit,” Thomas said. “If that happens, your alternative is to qualify for a manually underwritten home loan.”
You would have to provide alternate sources of credit and your debt-to-income ratio allowed would be lower, according to Thomas, but it’s always best to open credit in your own name as opposed to being an authorized user.
