The reality is the Bank owns it until you pay it off completly, and even then you still have to pay taxes on it every year. I guess you can say you own it as long as you keep paying for it. Once you slip up somebody else will always be there to take it from you.

You own the home once you have closed and the deed is transferred into your name. The bank who holds your mortgage is a lien holder. Once it is paid off, the bank's lien is satisfied and discharged.

In the interim, you can sell the home for any price at all, as long as you can pay the bank what they are owed. You can sell it "short", but the bank must approve. If you are putting 30 percent down, then you should have a nice chunk of equity from the git go, enabling you to sell it for a price lower than actual value, but still satisfying your obligations to the bank.

Dee Nofziger
Realtor

You own the home once you close,you will have clear title once you pay it off,Good hunting

Regards;


TJ

The simple answer is you cannot sell your house for less than you owe on it without the banks permission.

Think of it as a car that you got a loan on. If you owe chase $15k for your car and you want to get a new one, you need to sell it for at least that amount so you can pay off the loan. It's the same with houses basically. As long as the bank is getting it's money back they have no say in what you sell the house for.

Basically, your bank is a lien holder on your home and title will be in your name. You can sell your home to anyone without the bank's permission as long as the lien is paid in full at closing(you need to check the mortgage as some have early payoff penalties ect). After the typical costs associated with selling your home are paid and the balance on your mortgage is paid, you will then receive a check for any remaining proceeds. Not sure if that helped.

Thanks, Charlie for your reply!

That part I understand, but my question is whether it impacts my ability to sell, whether I need permission from the bank on any decision in such matter.

For example - if I want to sell the property later below market price (but still at a profit) to a "family" or "friend". Will I have that freedom or does the bank have any recourse in blocking something like that as long as the title is under the bank ?

Again, thanks in advance.

You own the home when the deed in your name is recorded. The lender has a secured interest in the property meaning that you cannot convey a "clear" title until they have been satisfied. And, absent default, they cannot put the home up for sale. Only you can.

How about decisions on selling the house during that period? I imagine I require their approval for such actions. Will they limit my ability to sell within a range I want to for example or when I can sell it?

Thanks, Alan, you are fast my friend!

So, under this circumstance, there is a possibility for me to go with a 15-year loan instead.

Would you know the disavantages to having this title under the bank rather than myself? Am I limited on the decisions or actions I can take on this house during the period that the title belongs to the bank?

Again, many thanks!