is this impossible?

Gatorguy, In the past no credit did not hurt you, however in todays market lenders want to see a demostrated payment history. I do not know if you have spoken with someone that does FHA Loans because it is much easier to use alternate forms of credit: Rent, Utilities, Accumulation of cash in bank accounts to overcome the issues raised. Because you say your wife is a foriegner, Another issue could be what type of visa your wife has. You many not like FHA because it does have Mortgage Insurance, however instead of waiting to establish the credit history, it might work for you.

Sounds like you are on track with ordering credit cards. Since your wife is the wage earner, she'll need to have credit scores. As soon as the credit cards are in her name and reflect on credit, her scores should populate. The suggestion to have an auto loan payment was to help with more "tradelines" for the credit reports to consider. Once you have some credit cards, you should be okay. Respectfully, Brock R. Hicks, C.M.P.S. Financial Planner / Loan Specialist Toll Free: 1-877-RATE-1ST Office: 949-243-7989 ext 102 Direct: 949-287-4058 Fax: 949-612-1565 Website: www.Rate1st.com Email: brock.hicks@rate1st.com

Well, I think the reason why you got turned down is because you do not have enought money down.If there is someone involved in the loan from another country they have to give more money down and the Mortgage % rates are usually alot higher than someone living in the states.I think she should go with a first time buyer program and I think she should establish herself with paying on some major or secured cards for atleast 12 months plus time.