Posted on: 26th Oct, 2008 01:14 am
thank you for answer to our questions about real estate and the law.
my question is, my father filed a quit claim to me for the house where i am actually living right now, his name is in the mortgage but i am the one whom is paying it directly to him and he is the one that pay it to the bank monthly, since i don't qualify for a mortgage due to my bad credit, but he insisted in file the quit claim deed and we went ahead and did it, but what in reality we needed was to see if he can add me to the loan or try to buy the house myself (even though i know that is very difficult at the present time as the banks approve loans only to people with good credit?).
do you think that the quitclaim deed was the right one we needed (if we want to make a future transfer of title to me) or needed other type of deed?
thank you so much for your valuable help!!
my question is, my father filed a quit claim to me for the house where i am actually living right now, his name is in the mortgage but i am the one whom is paying it directly to him and he is the one that pay it to the bank monthly, since i don't qualify for a mortgage due to my bad credit, but he insisted in file the quit claim deed and we went ahead and did it, but what in reality we needed was to see if he can add me to the loan or try to buy the house myself (even though i know that is very difficult at the present time as the banks approve loans only to people with good credit?).
do you think that the quitclaim deed was the right one we needed (if we want to make a future transfer of title to me) or needed other type of deed?
thank you so much for your valuable help!!
anybody can be on title to any property regardless of credit.
you cannot be added to a loan unless you do purchase or refinance.
some lenders will require both the person on title and the person on the mortgage to be on the refinance - this would mean that both you and your dad would need to be on the loan.
recently, a new trend has hit where as long you can show 'continuity of obligation' one can refinance a mortgage not in there name as long as you meet the continuity of obligation. for example, you would need to show proof of 12 months payment (cancelled checks) and you would have had to have been in title for 12 months - this would allow you to refinance while not being on the mortgage and your dad not on the loan.
its really going to depend on the lender that you or your broker chooses in order to do your refinance.
lastly, lenders are not just giving loans to people with good credit - there are still loans out there with people with blemished credit - we still understand people are human and make mistakes - without knowing your actual credit history/story, i am unable to advise you how to proceed - but i would check with a reputable company to determine if you can qualify.
you cannot be added to a loan unless you do purchase or refinance.
some lenders will require both the person on title and the person on the mortgage to be on the refinance - this would mean that both you and your dad would need to be on the loan.
recently, a new trend has hit where as long you can show 'continuity of obligation' one can refinance a mortgage not in there name as long as you meet the continuity of obligation. for example, you would need to show proof of 12 months payment (cancelled checks) and you would have had to have been in title for 12 months - this would allow you to refinance while not being on the mortgage and your dad not on the loan.
its really going to depend on the lender that you or your broker chooses in order to do your refinance.
lastly, lenders are not just giving loans to people with good credit - there are still loans out there with people with blemished credit - we still understand people are human and make mistakes - without knowing your actual credit history/story, i am unable to advise you how to proceed - but i would check with a reputable company to determine if you can qualify.
Hi SCANALES!
Welcome to forums!
Quitclaim deed filed by your father has added your name to the title of the property which is absolutely fine. If you want your name to be on the mortgage, then you will have to refinance which I think is not possible in your case as you have mentioned that your credit is not good. You can refinance the mortgage once your credit is good. This will help you to transfer the mortgage in your name.
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
Quitclaim deed filed by your father has added your name to the title of the property which is absolutely fine. If you want your name to be on the mortgage, then you will have to refinance which I think is not possible in your case as you have mentioned that your credit is not good. You can refinance the mortgage once your credit is good. This will help you to transfer the mortgage in your name.
Feel free to ask if you have further queries.
Sussane
Thank You all for your answers, I'll appreciate Very Much! Now I have another question: Suppose God Forbid, My Dad pass away and the scenario is the same (I am in the title through the quitclaim deed) how the bank will proceed in this case? Would I have a chance to buy the property? Do I have to notify the bank about my father deceased? Also I know that my mother is in the loan? She will be responsible for that?
Thank You Again for Your very valuable information provided here!
Thank You Again for Your very valuable information provided here!
Hi SCanales!
If case of your father's death, you will have to inform the bank. May be in that case they will ask you to refinance the mortgage which will transfer the loan in your name. Once you refinance, the property will be solely in your name because you are already on the title of the property.
Thanks.
If case of your father's death, you will have to inform the bank. May be in that case they will ask you to refinance the mortgage which will transfer the loan in your name. Once you refinance, the property will be solely in your name because you are already on the title of the property.
Thanks.
My bank loan officer has told me, if I add my name on my friend's property
through quitclaim, then within week I can apply for refinance. Is there no
witing period of 12 months any more before I apply for refinance?
through quitclaim, then within week I can apply for refinance. Is there no
witing period of 12 months any more before I apply for refinance?
Hi syed,
As far s I know there is a waiting period of 6-12 months before you can apply for refinance. I think you should discuss it with him before you take any final decision.
As far s I know there is a waiting period of 6-12 months before you can apply for refinance. I think you should discuss it with him before you take any final decision.