MY GRANDMOTHER CAN NOT AFFORD HER HOUSE NOTE ANYMORE, CAN I TAKE OVER HER NOTES? IF SO WILL I BE THE NEW OWNER? HOW CAN THAT WORK IF EVERYTHING WAS?

Asked by Babydoll, San Francisco, CA Thu May 20, 2010

PROCESS IN HER NAME? WILL THE BANK NEED MY INFO. WILL IT BE MORE DOWN PAYMENTS? NEED MORE INFO

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9
Kamal Salim, Agent, Davie, FL
Sat May 22, 2010
Hello babydoll

Have your grandmother quit claim deed over to you, you do not have to even call the mortagor, just keep on paying the loan yourself, the only difference would be that your grandmother would still be responsible for the loan, and if you fail to pay, it would affect your grandmother's credit.
Web Reference:  http://www.kamalsalim.com
0 votes
Manu Kapoor, Agent, New York, NY
Sat May 22, 2010
U will hv to call her note holder to find out their complete precess in case of ownership change.
Most times it is a new app all together.
0 votes
Kamal Randha…, Agent, El Sobrante, CA
Fri May 21, 2010
Hello Babydoll,

If you have good credit, I don't see why not. And if her not is not assumable, there are more options, other then reverse mortgages. I'm not a big fan of those. I would be happy to discuss your options if you like.

Kamal Randhawa
Broker
510-932-1066
0 votes
Lance King, Agent, San Francisco, CA
Fri May 21, 2010
BD,

Most mortgages are not assumable, so it's not as easy as taking over. There is the reverse mortgage as others have mentioned, or you could make her payments for her in exchange for some percentage od ownership in the property deeded to you. A Real Estate attorney could draw this up.

Best Regards,

Lance King/Owner-Managing Broker
lance@fixedrateproperties.com
415.722.5549
DRE# 01384425
0 votes
Eric J Soder…, , Pleasanton, CA
Fri May 21, 2010
Another option would be a Reverse Mortgage. This is basically a low interest loan that uses the home equity as collateral. This is a great option for many seniors facing this problem. Of course you should speak to an attorney and your CPA regarding the best solution for you situation. Below is a link that explains what a Reverse Mortgage is. Review all your options before taking action. Best of luck to you both.

Eric
0 votes
Bob McClure, Other Pro, Walled Lake, MI
Fri May 21, 2010
good morning...is your grandmother over 62 years old?...is there a fair amount of equity in the home?...look up a reverse mortgage lender in your area to see if that could be an option..it is not a credit and income driven mortgage....
best regards-
bob mcclure-
first preferred mortgage-
southfield, michigan..
0 votes
Scott Godzyk, Agent, Manchester, NH
Fri May 21, 2010
You will first have to check to see if the loan is assumable, if so you need to see if it is a quailifying assumable which means you need to apply to take over the loan and be approved or if it is non quailifying and you can pay a fee and take over.

If it is not assumable, you could ask your grandmother to call her bank, ask for the home retention department ans ask them what they can do to assist you.

If you do not quailify for a loan, you may want to see a real estate attorney on how your grandmother can keep the loan in her name, add you to the deed and have you make the payments. Laws from state to state are different so i can not say if it is possible in CA. Good luck working things out
Web Reference:  http://www.ScottSellsNH.com
0 votes
Bob Movin-On, , Hartford, CT
Fri May 21, 2010
Mortgages are not transferable but if you make the payments the bank in most cases will not do anything.
The home can be quit claim deeded into your name at any time.
Most real estate investor purchase their homes this way, it is a standard practice.
This is how Robert Allan's "Nothing Down Real Estate Investing" is structured. I do not advise this to sellers but it is a great deal for a buyer own a home with the mortgage in someone else's name.

Good Luck
Bob Patrick
Buy a home after foreclosure expert
0 votes
Pacita Dimac…, Agent, Oakland, CA
Fri May 21, 2010
This is the type of question best answered by a real estate attorney who will look into:
1. tax ramifications (your CPA can address this)
2. transfer of title
3. transfer of obligations
4. what type of notes/mortgage (if they're even assumable)
5. are there any other liens
6. and IF it will be better/easier for your grandmother to sell you the property (provided it isn't a short sale that is disallowed)
7. is the property in a trust, and what kind of trust is it?

Realtors who respond to this question can represent you in buying or sellling property --- but we cannot dispense tax or legal advice which is out our purview and areas of expertise.
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