Posted on: 08th Jul, 2010 02:28 am
hello,
i built a new home and was advised to add a friend as a co-borrower to ensure the home loan was approved quickly. my partner has a couple of credit file issues which may have been an issue when submitting the loan application. (my friend is named as co-borrower.. my partner is not)
i was advised that it wuld be a pretty straight forward process to remove my friend at a later date.. something like a 'lover's clause' ??
my friend has asked to be removed.. what is the best way.. quickest.. easiest.. cheapest way to replace one person with another?
i dont want to go through the entire 'refinance' drama..
i can appreciate the new person coming on may need to submit a new application.. i want my portion to just stay as is.. and not be subjected to the whole loan application/ justification process.
i built a new home and was advised to add a friend as a co-borrower to ensure the home loan was approved quickly. my partner has a couple of credit file issues which may have been an issue when submitting the loan application. (my friend is named as co-borrower.. my partner is not)
i was advised that it wuld be a pretty straight forward process to remove my friend at a later date.. something like a 'lover's clause' ??
my friend has asked to be removed.. what is the best way.. quickest.. easiest.. cheapest way to replace one person with another?
i dont want to go through the entire 'refinance' drama..
i can appreciate the new person coming on may need to submit a new application.. i want my portion to just stay as is.. and not be subjected to the whole loan application/ justification process.
if your friend's name is mentioned on the property deed, then he needs to sign a quit claim deed and remove his name from the property. as far as the loan is concerned, you need to refinance the loan in your name. if you are unable to refinance, then you can apply to lender for novation. however, lenders prefer refinance over novation.