Down Payment Woes - Gifting Funds

[Rob Bianco]

My wife and I are newly wed and we're about to buy 3 properties. We applied for a mortgage in her name since she has a credit score in the mid-700's. Mine is in the mid-600's and I'm self-employed, so I figured it's just easier to put her name on everything to get the lowest interest rate for the investment.

Turns out I can't gift the funds to my wife for the Down Payment? The bank basically told me it's against the law and to get on the mortgage with her and accept a higher interest % or sell her stocks/bonds to prove she has liquidity because she doesn't personally have the funds for the Down Payment.

The situation really blindsided us because we're ready to rock n roll and now we hit a brick wall. Has anyone been in this situation before or have any advice on what I can do? Should I find a different bank? 

I don't know what the interest rate will change to until next week - so not sure if it'll be viable

[Amy Beth]

I would put the mortgage in both of your names and use a mortgage broker to find the best rates. I would not contact banks individually and instead let a broker tell you what you can qualify for and the best interest rates.