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Company Loan Type APR Est. Pmt.

Land contract or Quit claim Deed

Posted on: 31st May, 2007 07:31 am
Which one should I do? My father in-law and Mother-in-law have a mortage on this house. And I pay for everything mortage and property taxes which are higher because it is listed as a secondary home for them. I want to get the Property taxes lower. I can not finance the home yet. What should I do? Is their anything I can do?
the lender might not agree to a land contract made between you and your in-laws. in such situation you will have to know if you would be allowed to assume the mortgage from them.

if assumption of mortgage is allowed then you ask your in-laws to make a quit claim deed to transfer ownership over in your name.

miller
Posted on: 31st May, 2007 12:43 pm
hi stillyman,

welcome to mortgagefit forum.

mortgage company can ask for the mortgage to be paid off as a land contract if made can activate the due on sale clause. but you need to talk with your mortgage company on whether they will allow any such contract to be made.

you will need to refinance the mortgage in your name even if you get slightly higher rate than normal and use a quit claim deed to transfer title in your name.

colin
Posted on: 31st May, 2007 02:44 pm
Right now if you are not in a position where you will be able to qualify for a refinance then you should wait for some time and improve your financial position before proceeding with the property transfer.
Posted on: 31st May, 2007 07:21 pm
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