Posted on: 24th Nov, 2009 06:23 pm
i own a condo on which my daughter is on the deed but not the mortgage. due to a change in my financial status, we have talked about quitclaiming the deed to her. i've read that we can work with the bank to transfer the mortgage. which should come first? and can she take any monies out at the refinance to make some renovations?
Hi gapking,
Transfer of the property deed and the mortgage can go hand in hand. At the time of the closing of the refinance, you can hand over the title of the property to your daughter. Getting a refinance will depend upon the equity in the property. If you've equity in the property, the she can go for a cash out refinance and use the a portion of the money towards the renovations.
Thanks
Transfer of the property deed and the mortgage can go hand in hand. At the time of the closing of the refinance, you can hand over the title of the property to your daughter. Getting a refinance will depend upon the equity in the property. If you've equity in the property, the she can go for a cash out refinance and use the a portion of the money towards the renovations.
Thanks
>>I've read that we can work with the bank to transfer the mortgage.
She can assume your existing mortgage if it's "assumable". Does your mortgage contain that provision?
She can assume your existing mortgage if it's "assumable". Does your mortgage contain that provision?
No. The mortgage is not assumable
Then the Lender won't transfer the mortgage to anyone else. A "purchase" or "refinance" is the only way to do it.
Thank you. This has been very helpful. I'll move forward with the Quitclaim Deed and she can refinance. Thanks again