Posted on: 10th Nov, 2010 03:01 pm
i have owned my own home since 8/20 of this year. because of my debt to income and credit score i was on the fence to qualiify for a loan. with the chance of potentially losing the house to another buyer my dad stepped in and loaned me the money to purchase the house through a private mortgage, which i'm repaying monthly.
3 months has gone by and my girlfriends father who is a contractor has given me a hand in rehabbing the property. the property has undergone an extraordinary change and i would guestimate the value of the home has increased by 50-60%.
my question is how should i pay my dad back? he has loaned me approx. 20k for the rehab and also helped me with the down payment.
since 8/20 when i purchased the property my debt to income and credit score has improved.
if i don't qualify for a refinance or equity loan could i have my dad cosign as a way to pay him back?
i know its a bit tricky but anyone that could help would be much appreciated.
3 months has gone by and my girlfriends father who is a contractor has given me a hand in rehabbing the property. the property has undergone an extraordinary change and i would guestimate the value of the home has increased by 50-60%.
my question is how should i pay my dad back? he has loaned me approx. 20k for the rehab and also helped me with the down payment.
since 8/20 when i purchased the property my debt to income and credit score has improved.
if i don't qualify for a refinance or equity loan could i have my dad cosign as a way to pay him back?
i know its a bit tricky but anyone that could help would be much appreciated.
Hi willmmelton!
Welcome to forums!
You will have to apply for a refinance and get the mortgage in order to pay off the loan. If your father cosigns for the loan, you may be able to pay for the loan but he will become liable for your mortgage as well. If you're unable to pay off the loan, then the lender will come after him to recover the dues.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
You will have to apply for a refinance and get the mortgage in order to pay off the loan. If your father cosigns for the loan, you may be able to pay for the loan but he will become liable for your mortgage as well. If you're unable to pay off the loan, then the lender will come after him to recover the dues.
Feel free to ask if you've further queries.
Sussane