Posted on: 11th Jul, 2008 08:54 pm
I found a house that I want but I cant get it with my credit score. so my brother in law is going to buy it and quitclaim deed it to me. Is this a good idea or will it back fire on me.
welcome guest.
i feel that will not help as if your brother in law quitclaims then also you will have to refinance the mortgage on your name. so can you able to refinance then? i feel you should try to improve you credit first. most lenders need 680+ credit score to approve a loan with good rates.
if you want to know how can you improve your credit then you can take a look at the credit repair tool at http://www.mortgagefit.com/calculators/credit-repair.html
hope it helps. let me know if you have any further queries.
i feel that will not help as if your brother in law quitclaims then also you will have to refinance the mortgage on your name. so can you able to refinance then? i feel you should try to improve you credit first. most lenders need 680+ credit score to approve a loan with good rates.
if you want to know how can you improve your credit then you can take a look at the credit repair tool at http://www.mortgagefit.com/calculators/credit-repair.html
hope it helps. let me know if you have any further queries.
As NIICSS said your brother-in-law getting a loan for this property won't work because changing title to the property will cause the loan to become due & payable in most cases...termed as an acceleration or alienation clause.
If you feel improving your credit, as NIICSS suggests, will cost you time that might cause you to lose the property you might want to consider a lease option agreement with you brother-in-law and work on your credit during that time period.
A lease option or lease-to-own agreement typically asks for a security deposit, first and last month´s rent plus a sum paid as the "option consideration" (a fee to bind the agreement) in order to occupy the property. A portion of the monthly rent is credited toward the purchase price of the home.
:idea:
If you feel improving your credit, as NIICSS suggests, will cost you time that might cause you to lose the property you might want to consider a lease option agreement with you brother-in-law and work on your credit during that time period.
A lease option or lease-to-own agreement typically asks for a security deposit, first and last month´s rent plus a sum paid as the "option consideration" (a fee to bind the agreement) in order to occupy the property. A portion of the monthly rent is credited toward the purchase price of the home.
:idea:
