Posted on: 27th Jan, 2008 05:00 pm
I am a co-borrower with my sister on a house. My mom, my sister, and I are on the title. My mom's credit was bad at the time so my sister and I did the loan. We all lived in the house. We had agreed if my sister or I got married we would sell the house. However, when I got married everything changed. I waited to get married so that they could sell because we had refinanced a year ago and we could not sell until 2 years had passed. After i got married I paid my portion of the mortgage for 2 more months. It was taken from money my husband and I received from the wedding. My sister nor my mother wanted to sell. For the last 3 years they have been a number of late payments. It affected my credit so bad that my husband and I had a hard time renting a place because they required credit checks from both the husband and the wife. I can't live like this any longer what options do I have. My sister and I are on the mortgage and the title. My mother is just on the title. My credit reports are showing over 10 incidents of 1 month late with the mortgage about 5 incidents of 2 month lates and 1incident of 3 months late.
Hi Guest,
Welcome to the forums.
It seems you are frustrated because you are being affected just because the other occupants of the house aren't paying for the loan. That's really bad but now that your credit report already shows late payments for a number of months, it's better to think of some way out of this situation instead of getting worried.
Have you had a talk with the lender? Has he thought of taking any legal action against you and your sister since both of you are on the loans. It's important for you to have a talk with the lender directly and tell him that it's not possible for you to pay anymore, in case your sister too feels that it's impossible for her to pay the mortgage. The lender might help you out with an alternative repayment plan. Or what you can do is, convince your sister that you'll sell the home and pay off the loan and in the process, you will try to give her a part of the sale proceeds. However, this would also depend on how much the home sells for.
Where do you stay actually, in which state? I'm asking this because if you can get an idea about the home sales market there, it will be better for you to decide whether to sell right now or continue with an alternative plan, if any, offered by the lender.
Take Care
Welcome to the forums.
It seems you are frustrated because you are being affected just because the other occupants of the house aren't paying for the loan. That's really bad but now that your credit report already shows late payments for a number of months, it's better to think of some way out of this situation instead of getting worried.
Have you had a talk with the lender? Has he thought of taking any legal action against you and your sister since both of you are on the loans. It's important for you to have a talk with the lender directly and tell him that it's not possible for you to pay anymore, in case your sister too feels that it's impossible for her to pay the mortgage. The lender might help you out with an alternative repayment plan. Or what you can do is, convince your sister that you'll sell the home and pay off the loan and in the process, you will try to give her a part of the sale proceeds. However, this would also depend on how much the home sells for.
Where do you stay actually, in which state? I'm asking this because if you can get an idea about the home sales market there, it will be better for you to decide whether to sell right now or continue with an alternative plan, if any, offered by the lender.
Take Care
Now that there is a 90 day late showing it will be exceedingly difficult to refinance the house for you or your sister.
The lender isn't going to release you from your obligation at this point.
Your only options are:
1. Sue your sister
2. Somehow convince her to sell the house so you can get out from under your obligation.
The lender isn't going to release you from your obligation at this point.
Your only options are:
1. Sue your sister
2. Somehow convince her to sell the house so you can get out from under your obligation.
You can file a "Partition" lawsuit which will force the sale and divide the proceeds among the property owners. Contact a local real estate attorney.
"inmates"????
c'mon sara...they may feel like prisoners in that house, but don't put that label on them! LOL
i think suing your sister is a pretty harsh recommendation, but of course, that is a possibility given the circumstances. a better bet is to come to a peaceful solution. if they can't make payments, your sister and mom will be forced into a solution they won't like anyway; so try and negotiate your way out of this, convincing them to put the house on the market right away.
you've not mentioned value of the property in your post, ms. frustrated, but that would hopefully not get in the way of selling. perhaps they could take a net profit and go find someplace else smaller and more affordable to live in.
c'mon sara...they may feel like prisoners in that house, but don't put that label on them! LOL
i think suing your sister is a pretty harsh recommendation, but of course, that is a possibility given the circumstances. a better bet is to come to a peaceful solution. if they can't make payments, your sister and mom will be forced into a solution they won't like anyway; so try and negotiate your way out of this, convincing them to put the house on the market right away.
you've not mentioned value of the property in your post, ms. frustrated, but that would hopefully not get in the way of selling. perhaps they could take a net profit and go find someplace else smaller and more affordable to live in.
Chris Burns is right. There are only two options here unless there is substantial equity in the property that would allow your sister and/or mother to refinance the mortgage out of your name.
Hi,
I think you can even ask you sister to buy you out. That means you just ask your sister to pay for your share of the equity. You can then quitclaim your share of property to your sister. And you should also ask her to refinance the mortgage on her name as you are quit claiming the property to her.
If she does not agree then request her to sell the house and divide the proceeds accordingly.
Even after that if she does not agree, I think the last way out is to file Partition Lawsuit.
Feel free to ask if you have any further questions.
Best of luck.
Larry
I think you can even ask you sister to buy you out. That means you just ask your sister to pay for your share of the equity. You can then quitclaim your share of property to your sister. And you should also ask her to refinance the mortgage on her name as you are quit claiming the property to her.
If she does not agree then request her to sell the house and divide the proceeds accordingly.
Even after that if she does not agree, I think the last way out is to file Partition Lawsuit.
Feel free to ask if you have any further questions.
Best of luck.
Larry
Oh oh george, you caught me :). I meant one of the residents of the house and not prison. Please don't take it otherwise. No intentional harsh statements from my side please.
I am sorry to hear that this is happening to you, it is probably putting a strain on every relationship in your life. I see that you have gotten some pretty good advice here, I would tell your sister and your mother that you now know your options and plan to pursue action, they can either sell or buy your part out and you will take your name off the title once the deed is clear. goodluck hope this works out for you soon.
I inheirted a house with two brothers. The house which has three units, doesn't have any debt. It's 100 percent ours. My brothers have rented two of the three apartments without my knowledge and are collecting rent and not giving me any of the income. They refuse to tell me how much rent their collecting, as well as provide any financial accounting. I've tried for several months to resolve this matter amicably. However, they're refusing to cooperate. What can I do to stop them?
Hi sgwcat,
You need to contact a real estate attorney and take his help in this matter. As you're one of the owners of the property, you have equal rights to get a part of the rental income as your brother.
Thanks,
Jerry
You need to contact a real estate attorney and take his help in this matter. As you're one of the owners of the property, you have equal rights to get a part of the rental income as your brother.
Thanks,
Jerry