Posted on: 27th Mar, 2009 06:38 pm
i purchased a house but because of my poor credit a relative put it in their name. i have been making payment for over 2 years but my name is not on the deed orif anything would happen to the relative i would have no recourse. what can i do?
hi mary,
a novation in this situation is useful. but if your credit is still not upto the mark, your lender might not allow a transfer of obligation through a novation. however, you can talk to the lender about this and if you can convince them that you have been making the payments nad would continue to do so, they can consider a novation.
a novation in this situation is useful. but if your credit is still not upto the mark, your lender might not allow a transfer of obligation through a novation. however, you can talk to the lender about this and if you can convince them that you have been making the payments nad would continue to do so, they can consider a novation.
Is there any other avenue that I could take to protect my investment in the future? Can I claim the interest paid on my taxes? I made all the payments. I also invested 40.000.00 into the house to fix it up because it was a foreclosure and not liveable at the time. I have every receipt.
do you know how your credit might look now, mary? you said it's been 2 years - have you worked on building back up since then? that's the key.
No. I haven't worked on building up my credit as of yet. I have worked at my job for 29 years and make 145,000 per year.
Do you think your relative, is going to pull a fast one on you now? Why did you wait 2 years?
I had the same arrangement with my mom for many years and there was never a problem. This relative asked for 5000.00 to use her credit so I gave it to her and she took out the mortgage in her name. I have a feeling she is going to pull a fast one on me!