Posted on: 12th Feb, 2009 09:56 am
Hello,
I am layed off from work and have a 2nd house fully paid.
I would like to tranfer the deed to my sister.
My sister would like to take out a loan for house improvement and pay off credit cards.
What is the less costly, type of loan and best process to do this?
If she take out a mortgage to buy the house I have to pay taxes for the Sale of the house, closing cost, etc...
Should I Transfer the deed to her first and then she takes out a loan herself?
Please advise,
Peter
I am layed off from work and have a 2nd house fully paid.
I would like to tranfer the deed to my sister.
My sister would like to take out a loan for house improvement and pay off credit cards.
What is the less costly, type of loan and best process to do this?
If she take out a mortgage to buy the house I have to pay taxes for the Sale of the house, closing cost, etc...
Should I Transfer the deed to her first and then she takes out a loan herself?
Please advise,
Peter
Hi dzone,
As it is a property which is fully paid off, you can transfer the property first to your sister with the help of a quitclaim deed or a warranty deed and then she can take a loan on it.
But taking a mortgage just to pay off the credit card debts is not a good option in my opinion. In order to pay off the credit card debts, you or your sister can go for a debt consolidation or a debt settlement. In case of a debt settlement, your debts will be reduced by 40%-60% depending upon your situation whereas in case of debt consolidation, the interest rates for paying of the debts may be reduced. You can contact any debt consolidation company and they may help you in understanding the plans.
I know of a debt consolidation community- "debtconsolidationcare.com". You can visit their website and check out their plans and programs. You can also speak to the financial coach who may help you in resolving the issue.
Thanks
As it is a property which is fully paid off, you can transfer the property first to your sister with the help of a quitclaim deed or a warranty deed and then she can take a loan on it.
But taking a mortgage just to pay off the credit card debts is not a good option in my opinion. In order to pay off the credit card debts, you or your sister can go for a debt consolidation or a debt settlement. In case of a debt settlement, your debts will be reduced by 40%-60% depending upon your situation whereas in case of debt consolidation, the interest rates for paying of the debts may be reduced. You can contact any debt consolidation company and they may help you in understanding the plans.
I know of a debt consolidation community- "debtconsolidationcare.com". You can visit their website and check out their plans and programs. You can also speak to the financial coach who may help you in resolving the issue.
Thanks