Posted on: 06th Jun, 2009 09:30 am
There have been many posts on this topic so it deserves to be up here as a "sticky".
Answer...
Once someone's name is on the mortgage you will not be able to get it removed. The bank approved the loan based on the income of ALL borrowers. All borrowers on the mortgage are financially responsible for making the payments regardless as to what agreement the two borrowers may have with one another.
Solution...
There are two ways to have a name removed from a mortgage...
1. Refinance the loan
2. Sell the home
If someone co-signs on the mortgage, that person has the same obligation as the primary borrower. The co-signer cannot be removed from the mortgage unless one of the two solutions above occur.
Answer...
Once someone's name is on the mortgage you will not be able to get it removed. The bank approved the loan based on the income of ALL borrowers. All borrowers on the mortgage are financially responsible for making the payments regardless as to what agreement the two borrowers may have with one another.
Solution...
There are two ways to have a name removed from a mortgage...
1. Refinance the loan
2. Sell the home
If someone co-signs on the mortgage, that person has the same obligation as the primary borrower. The co-signer cannot be removed from the mortgage unless one of the two solutions above occur.
Hi bafana,
You will have to ask the present owner of the property to transfer the property to you with the help of a warranty deed. Once the owner does so, notarize and record the deed at the county recorder's office.
Thanks
You will have to ask the present owner of the property to transfer the property to you with the help of a warranty deed. Once the owner does so, notarize and record the deed at the county recorder's office.
Thanks
My mother and father had their name on the mortgage to my home that I was paying on. My dad died, I inherited half of the house along with half of the mortgage. They did NOT do a credit check on me. I was simply added and he was simply deleted with proof of a death certificate. The loan did not change at all. (same percentage, same loan amount, etc)
My dad passed away and his name was taken off his house mortgage without any refinancing and he left it to me and my name went on with my mom's name. All we did was show a death certificate.
ok...that's a strange situation, guest. what kind of lender was this?
I was preparing the ask the question about a loan assumption but you have already answered it in great detail. Thanks again.
thank you for this information but still this topic is broad. what would be the advantage of selling a house than refinancing? would be both time and effort consuming?
selling a house versus refinancing? is this something that people actually think about?
"let's see...shall i sell my house or just refinance? should i cut my payments lower so i can afford them better, or just take my money and run? maybe i could go with a 15 year loan so i won't have a mortgage forever or else i can sell the house and not have a mortgage at all! yeah...that's the ticket...i'll just rent a one-bedroom apartment for a thousand dollars a month...cool!"
"let's see...shall i sell my house or just refinance? should i cut my payments lower so i can afford them better, or just take my money and run? maybe i could go with a 15 year loan so i won't have a mortgage forever or else i can sell the house and not have a mortgage at all! yeah...that's the ticket...i'll just rent a one-bedroom apartment for a thousand dollars a month...cool!"
Recently co-signed as borrowers on a house for daughter.Please advise what could happen if for any reason payments could suddenly not be made.. Would they be able to take our mortgage free house,, or what would they do?
babs, have no fear about losing your home. keep on top of your daughter as best you are able to ensure that she doesn't run into difficulty, therefore putting your finances in jeopardy. that's the only worry you may have - your finances. i say "shame, shame" on the lender who neglected to inform you of your precise obligation here. you are fully obligated on the loan you just cosigned; the lender does not have to look to your daughter for payments, and they can actually seek payment from you at any time (in theory). the practice, however, is that they'll send statements to her and she'll make payments regularly.
if she defaults, your risk is that you'd have to begin making payments so as to avoid a foreclosure on her home. yours will not be jeopardized.
if she defaults, your risk is that you'd have to begin making payments so as to avoid a foreclosure on her home. yours will not be jeopardized.
Hi eric ,
Its a helpful information for me , and others thanks alot.
Its a helpful information for me , and others thanks alot.
Thanks for the answer, have a good day.
Thank you, williamdona2001, I just did that with my lender. There aren't many lenders around that will do this but mine did. I had a conventional fixed rate mortgage with my ex-husband (divorce just finalized). The lender did a credit check on me, my ex did a quit claim on the deed and the lender had me sign a release of liability form releasing my ex from any obligation. It only cost $250 - no closing costs. So I was able to keep existing mortgage (and rates are down a bit but not enough to warrant refinancing).
By finding low-cost loan refinancing can be an uphill struggle for the current state of the U.S. economy and housing market. Unless the current lender agrees to voluntarily remove their names and current loan ex-husband, the best thing you can leave your mortgage name yet. When the 'wrapper retrieves the current depressed state should increase the value of your home, we hope to provide enough capital to refinance the house in good conditions, without significant gains.
My boyfriend and I live together. My name is on the mortgage but both out names are on the deed. I want him to move out or sell the house but he refuses. Are there any solutions?