Posted on: 29th Oct, 2009 03:46 pm
I helped a friend buy a property almost five years ago. I am the primary on the loan and used to have a joint title. We have been trying to get my name off the loan, so started with removing my name from title. The banks say the only way for me to get my name off the loan and have my friend on only is to refi. The problem is, the house is worth half what we paid and we don't qualify for a hardship. All we want is my name off and the friends name on. I can't buy a house till this happens. Any advice or help would greatly be appreciated. Thank you!
If the bank says the only way to do it is by refinancing, that's all you can do. But you're in a real bad spot right now because you're on the Note but not Title. That means you have the full obligation of the Note, but you don't own any of the asset that's backing the Note - and that's one of the worse positions to be in. You need to get back on Title. If he died right now, the home would go to one of his heirs and you'd still be responsible for the full amount left on the Note. Nobody wants to be in that position.
the co-signer needs to refinance, your name can not simply be removed from a contract. the contract you have must be paid off with another loan that the co-signer obtains on their own. it is then up to the bank giving the new loan if they will accept partial ownership from someone not on the loan.
highly doubt the lender is going to loan the full loan value of the entire property to a deed holder who only has interest in half the property, since you are also on the title,
so probably the person could not refinance alone for the full outstanding loan value
highly doubt the lender is going to loan the full loan value of the entire property to a deed holder who only has interest in half the property, since you are also on the title,
so probably the person could not refinance alone for the full outstanding loan value
need, i also believe that you're not likely to have success in doing what you wish to do here.
You need to refinance the loan or go through a short sale.
If i get my name off the title how soon can i put it back
ify, what purpose would it serve to have your name removed from a loan and then to desire to put it back on shortly thereafter? is this merely folly on your part?