Posted on: 06th Jan, 2010 03:36 am
Hi,
My husband and my daughter own together an apartment. We would like to have the title and the mortgage solely in her name. Right now, the mortgage is only under my husband's name.
How could I do that with minimum of money and effort?
your advice will be much appreciated.
thanks,
mlm
My husband and my daughter own together an apartment. We would like to have the title and the mortgage solely in her name. Right now, the mortgage is only under my husband's name.
How could I do that with minimum of money and effort?
your advice will be much appreciated.
thanks,
mlm
can she carry the mortgage by herself?- she would need to be approved with only her income. if she can be approved for the mortgage solely on her income and credit you can do a rate/term refinance and remove yourselves from both mortgage and title.
she can carry the mortgage. it is a coop in NY though. i have just spoken the managing agent and i will apply today... i don't really understand why i need a lawyer this time.
Are they requiring you to get a lawyer or suggesting it?
You don't need a lawyer on a refinance transaction.
in truth, nobody is required to have a lawyer to do a real estate transaction. it's a good idea, however, when purchasing, to have one. not that anyone listens, but the closing attorney will provide sufficient information to a buyer/borrower that it makes a great deal of sense to engage one for that transaction. as noted, with a refinance, the need for a lawyer is far less urgent.
Mortgage guidelines address this scenario.
The husband and daughter both own the coop. That must mean they are both on title.
The mortgage is presently only in the husband's name and we want that to be only in the daughter's name.
By Agency guidelines (FHFA), the daughter, can refinance if she can verify she has been on title and lived there for the past twelve monhts.
The husband and daughter both own the coop. That must mean they are both on title.
The mortgage is presently only in the husband's name and we want that to be only in the daughter's name.
By Agency guidelines (FHFA), the daughter, can refinance if she can verify she has been on title and lived there for the past twelve monhts.
Fortunately, it is a coop, and you do not get concerned with the NY mortgage tax nor go through the CEMA process
and the lawyer advised that i should pay mortgage taxes, what is that?
Not sure. You would have to ask your lawyer.
New York State has a mortgage tax for 1 to 4 unit residential properties and condominiums. That tax is not charged on cooperatives as they are not real property (by the legal definition)
New York State has a mortgage tax for 1 to 4 unit residential properties and condominiums. That tax is not charged on cooperatives as they are not real property (by the legal definition)
the latest on this: spoke with the tax accountant and he said that it shouldn't be any tax involvement if there is no money involved.
i spoke with the bank which is holding the actual mortgage and the lady said that there is no mortgage tax or sales tax for a coop in NY
but i don't know what to do as it seems the lawyer doesn't know much, should i go with him? than the lady paralegal from coop doesn't understand everything also.
i spoke with the bank which is holding the actual mortgage and the lady said that there is no mortgage tax or sales tax for a coop in NY
but i don't know what to do as it seems the lawyer doesn't know much, should i go with him? than the lady paralegal from coop doesn't understand everything also.
theo said way up above that you don't need a lawyer for this transaction, anyway. i know most folk feel comfortable having legal advice, but is it mandatory for you to work with one?
and the coop has a paralegal working for it? that seems peculiar to me - but apparently she's not much help. that shouldn't be a worry, though.
as long as your lender knows how to handle things, and as long as the transaction isn't too complicated, you ought to be fine, even if, as theo noted, you don't retain legal counsel.
and the coop has a paralegal working for it? that seems peculiar to me - but apparently she's not much help. that shouldn't be a worry, though.
as long as your lender knows how to handle things, and as long as the transaction isn't too complicated, you ought to be fine, even if, as theo noted, you don't retain legal counsel.
I spoke with the paralegal today in person (she works for coop lawyers) and she advised to call my lender again and ask to add my daughter to the mortgage, transfer the mortgage as a family member. is that possible? sure, they have to do her the credit report but still it sounds not like something durable with citimortgage. I am really discouraged.
doesn't what they advocate go against the grain of what you said you're trying to do anyhow?
if i were to go to some other financial institution, would they know how to handle it? and let's say refinance, make a quick deed claim? and pay off citimortgage...
Hi mlm,
I don't think it'll be much of a problem for your daughter if she qualifies for the mortgage. In fact, what you suggested sounds like a good option. If your daughter has enough credit and income, she can refinance the existing mortgage with any other lender or bank. If she pays off the current loan in full, Citimortgage will not have any problem with that. As far as the title is concerned, your husband can sign over his property interest to your daughter through a quitclaim or a warranty deed during the refinance.
I don't think it'll be much of a problem for your daughter if she qualifies for the mortgage. In fact, what you suggested sounds like a good option. If your daughter has enough credit and income, she can refinance the existing mortgage with any other lender or bank. If she pays off the current loan in full, Citimortgage will not have any problem with that. As far as the title is concerned, your husband can sign over his property interest to your daughter through a quitclaim or a warranty deed during the refinance.