refi from family

Guest 0.10 Dollars($)

My brother has the mortgage in his name for the town home that we rent from him. We want to add our name to the deed, then refinance the propety in our name only and remove him from the deed. Is this going to work? We are looking to avoid all of the hassles and expense of buying out right from him.

executivemortgageadvisor · Joined: 16 Mar 2008 Posts: 18 10.34 Dollars($)

There will be some problems with that, what you are suggesting may get you in a tad bit of trouble:

Reason One: Your Scenario the way it is worded is fraud:

Second Reason: This would be considered a non-arms-lenghth transaction: in a "non-arm's-length" transaction, the relationship between the parties may cause one or the other to accept less than they are entitled or pay more than fair market value.

Solution: Go thru the process correctly. Use an attorney-it will be less expensive than a real estate agent- you must completely disclose your relationship to the seller provide proof of that relationship (birth certificate(s), mothers info etc.) Must prove that the house is not in foreclosure. With a competent loan officer and their are plenty in this forum it can be done if you qualify outright with your verifiable documentation and pass the credit criteria. Find a lender in your area from this forum. Good Luck

larry · Joined: 27 Jun 2007 Posts: 3328 473.51 Dollars($)

Hi,

The above poster has given you very good suggestions. There is no better way than to go with the legal way.

If your brother quitclaims the property then only you can remove him from the deed. So is he willing to quitclaim the property to you?

Best of luck,
Larry.

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