FHA title and signature structure: who owns, who owes, and who signs are different questions.
Living trusts, co-signers and powers of attorney can work in FHA transactions, but title, note liability and security-instrument requirements have to line up correctly.
Borrowers and co-borrowers
FHA requires occupying and non-occupying borrowers/co-borrowers to take title in their own name or an eligible living trust at settlement, be obligated on the Note or credit instrument, and sign the required security instruments.
Co-signers
A co-signer is liable for the debt and signs the Note but does not hold an ownership interest in the subject property and therefore does not sign the security instrument as an owner.
Community-property considerations
A spouse does not necessarily have to be a borrower or co-signer, but all parties required under state law must execute documents necessary to create a valid and enforceable lien. Separate FHA debt-analysis rules can also apply in community-property states.
Living trusts
FHA permits qualifying ownership through a living trust when the trust and borrower satisfy the Handbook's requirements. Trust documentation should be reviewed before closing rather than assuming every trust form is acceptable.
Power of attorney
FHA permits powers of attorney in qualifying circumstances subject to Handbook, state-law and closing-document requirements. The lender must verify that the POA authority and execution are acceptable for the specific transaction.
Official FHA policy baseline
Primary source: HUD/FHA Single Family Housing Policy Handbook 4000.1. HUD identifies Handbook 4000.1 as its consolidated, comprehensive source of FHA Single Family policy. Current update published August 12, 2026.