Posted on: 20th Mar, 2010 07:43 pm
i am trying to buy a home from my uncle thru quit claim deed because he has very low interest loan and i can't get loan in today's market, so he wants to keep loan on his name and transfer property interest into my name. also, he wants me to pay mortage everymonth in behalf of him. please advise what is my risk with this ? also, i want to know once the loan is paid in full, can he claim that it's his property since the loan was on his name.
Hi Guest,
Once the property is transferred in your name through a quit claim deed, then you would be considered as the owner of the property. Thus, after the loan is paid in full, your uncle will not be able to claim the property. However, it is always better to inform the lender about the transfer of the property and get the loan refinanced in your name. If the lender comes to know about the transfer the property later on, he may call the loan due immediately.
Once the property is transferred in your name through a quit claim deed, then you would be considered as the owner of the property. Thus, after the loan is paid in full, your uncle will not be able to claim the property. However, it is always better to inform the lender about the transfer of the property and get the loan refinanced in your name. If the lender comes to know about the transfer the property later on, he may call the loan due immediately.