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2 loans

Posted on: 05th Aug, 2009 07:09 am
i just refinanced my 1st home (fha) and now in the process of purchasing a new home. just to find out that i can not carry two fha loans. can i quit deed it over to my dad & do a novation to be released off the 1st house so i can close on the 2nd
you might be able to do that, shawn. you need to discuss novation with your lender to see if they're willing to consider it.
Posted on: 05th Aug, 2009 08:12 am
Hi,

I don't think your lender would be ready to take you off the loan merely through a novation agreement in this market. You can of course discuss this option with your lender. But I think they will consider removing your name from the mortgage, only if your dad refinances in his name.
Posted on: 07th Aug, 2009 07:00 am
to be perfectly honest, i don't have much faith in novation as being a cure for what ails homeowners trying to get out. as you pointed out, savior, this is a very difficult market in which to try to get around the rules.
Posted on: 07th Aug, 2009 07:15 am
Hi shawn,

Welcome to the forum.

you can also think to purchase second home in the name of your father. you may become a coborrower & continue to make payment for both the loans
Posted on: 08th Aug, 2009 12:07 pm
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