Posted on: 13th Aug, 2007 11:36 am
a friend is in financial difficulties. they want me to do a quit claim deed & then refinance in order to pull out cash for debt consolidation. is this possible? and how season must the quit claim deed be before i can refinance?
Lender might require you to continue the payments for a year before considering your request for a refinance to be sure you have the capability of continuing the payments in future.
Hi Caleb,
I feel that your friend being in financial distress wants to transfer the house to you by using a quitclaim deed and also wants you to refinance the loan in your name so that you could pay off all outstanding debts. In that case, it is possible to refinance. But there should be sufficient equity in the house for the refinance.
And after doing the quitclaim deed, once you get the ownership rights, you can surely take a new loan for refinance. But after filing the deed, there is a time limit for recording the deed and it varies from state to state. You can talk to an attorney general and find out the time limit for recording at your state. And refinance the loan after the recording is done.
I feel that your friend being in financial distress wants to transfer the house to you by using a quitclaim deed and also wants you to refinance the loan in your name so that you could pay off all outstanding debts. In that case, it is possible to refinance. But there should be sufficient equity in the house for the refinance.
And after doing the quitclaim deed, once you get the ownership rights, you can surely take a new loan for refinance. But after filing the deed, there is a time limit for recording the deed and it varies from state to state. You can talk to an attorney general and find out the time limit for recording at your state. And refinance the loan after the recording is done.
Hi Caleb,
Welcome to the forums.
You can approach the County Recorder's office and make an enquiry there as to what is the time period of filing a quitclaim deed such that it does not become invalid even though it's been been signed.
Take Care
Welcome to the forums.
You can approach the County Recorder's office and make an enquiry there as to what is the time period of filing a quitclaim deed such that it does not become invalid even though it's been been signed.
Take Care