Hi Marie,
Why not do a cash-out refinance of the second loan and try to make regular monthly payments on the first with the extra loan proceeds. Thus you get rid of the second loan and gradually the first. This is just a suggestion though as i am not aware of the calculations involved here with the loan amounts.
Why not do a cash-out refinance of the second loan and try to make regular monthly payments on the first with the extra loan proceeds. Thus you get rid of the second loan and gradually the first. This is just a suggestion though as i am not aware of the calculations involved here with the loan amounts.
What is novation?
In novation the lender agrees to having the loan transferred in the name of other person with the terms and conditions of the loan remaining same for the new borrower.
No one wants to work with this at all, the two mortgage companies say that it has to be refinanced. But of course they wont refinance me
Hi Marie,
If you want to make the loan in your name only, then you need to talk to the lender about this. If the lender feels that your credit score, payment history and income are suitable enough to transfer the entire liability in your name, then only you will be allowed to do so. If the lender agrees to transfer the loan in your name, you can try out with novation. Through this legal process, your ex-husband can transfer the liablity of paying off the loan to you.
Thanks
If you want to make the loan in your name only, then you need to talk to the lender about this. If the lender feels that your credit score, payment history and income are suitable enough to transfer the entire liability in your name, then only you will be allowed to do so. If the lender agrees to transfer the loan in your name, you can try out with novation. Through this legal process, your ex-husband can transfer the liablity of paying off the loan to you.
Thanks
Checked into Novation and they will not do that. Any other options? Facing legal action from ex unless I get this taken care of.
Hi Marie,
The only option left out for you is to apply for a no-equity refinance loan. With such a loan, you can borrow more than 25% of the home value. But this is quite risky too as you will have to pay higher rates of interest and you may not get tax deduction benefits with such high amount of loan. Also, the fees are quite large compared to traditional home equity loans.
Thanks
The only option left out for you is to apply for a no-equity refinance loan. With such a loan, you can borrow more than 25% of the home value. But this is quite risky too as you will have to pay higher rates of interest and you may not get tax deduction benefits with such high amount of loan. Also, the fees are quite large compared to traditional home equity loans.
Thanks