What does it mean if someone name is on the title of the home and not the mortgage?

Question

The loan person I went to see, say she just wanted to do the mortgage in my name, not also my boyfriends name, but she stated that she could put his name on the title, what exactly does that mean, does that mean he would legally own half of my house? and in the event that we break up, I would half to give him half my profit from the house if I sell it? Is this a good idea or not? Also what if he currently has judgements against him, could a lein be put on the house? thanks

Answer 1

it means that the one who borrowed the money used something other than the house as collateral

buck

Answer 2

A piece of real estate belongs to the person or persons whose name or names are on the title. Period. When a property is mortgaged, the mortgage company name goes on the title as a lien holder, so that title cannot be transferred without their consent. If your boyfriend is not paying the mortgage, putting his name on the title is giving him some part of the house for free. If you marry, and you own the house, some states give him joint title by right of marriage, but some do not. If you put his name on the title, and then break up with him, he gets to keep the share in the house which you gave him.

If your boyfriend is paying the mortgage, or helping you to pay the mortgage, then a joint title is fair. Otherwise, you are cheating yourself. If he is on the title, and the holder of the judgment against him finds out, they can slap a lien on his part of the house, and take your equity (which you gave him by putting him on the title) to satisfy the judgment.

If, in fact, this boyfriend already has judgments against him, you are being foolish even associating with him, much less granting him any part of your assets without marriage. How about dumping him and finding someone who can afford to buy you a house?

Answer 3

I would be curious as to why a loan officer would say that - they know the difference between the title and mortgage loans...I would question the nature of that remark.

DO NOT put anyone on the title unless you are married, and if you are going to have them on the title for 1/2 of your home... they should be responsible for 1/2 the loan. Just to be sure of your own instinct/curiosity/doubt, call 3 other mortgage companies and ask 3 different loan officers.

Answer 4

I believe he would be entitled to half. The lender probably doesn't want him on the mortgage if he is not a good credit risk. I would recommend keeping him off the title if he is not on the mortgage unless you are 100% sure he is the one. In the future, you can always redo the title but you will have to go through a lawyer first.

Answer 5

If he is on the title of the home, he has a legal piece of the house (to what extent I am unsure) but with your name only on the mortgage, you are responsible for the payments...not him. It doesn't sound like it would be a good idea to have him on the house especially since he has judgements. He isn't doing anything to help you get the home, so I would leave him off until you are married...tell him it's an added bonus of marrying you :)

Answer 6

Bad idea! If you are the sole borrower on the mortgage, it means that you are the only one responsible for paying it. If your boyfriend is on the title, it means that he is co-owner of the house.

Your mortgage banker may only want to use you on the mortgage because your boyfriend has bad credit, this would entitle you to a better rate as they sometimes take the lower of two scores to calculate the rates.

Since you guys aren't married yet, if you are the only one on the mortgage, I would keep only your name on the title. your boyfriend can pay his share of the mortgage and you can just treat it like rent...

Good luck!

Answer 7

I have to agree with everything you've been told, plus never get into bed financially with someone who adds no value, but I'm suspecting if he is part or all of your source of down payment, then he has value, but his credit is not worthy, which is why the loan officer/broker is advising you this way.

If you don't need him in the deal, don't allow him in on the deal.

Best of luck and if you need any more specific advice for your situation, feel free to call me...or click on my face and send an anonymous e-mail...I offer one free hour of advice to everyone.

Regards,
Robert Noakes
Real Estate Investment Consultant
Sr. Mortgage Planner
415.652.8112
[e-mail]

Answer 8

title = house ownership

mortgage = house debt

in this case, you would own half the house, and he would own the other half. but, you would be responsible for the entire mortgage....not a good position to be in.

being not married, the smartest thing you can do is to have everything in one name or the other. that way, if anything shoud happen, one person is both responsible for the asset and the debt on that asset. whether you want that name to be yours is up to you, but you don't want it to be split.

Answer 9

you got it, that way he is owner but not labial for the payments! DON'T DO IT! If you can get the house and mortgage in your name alone do it that way! You have to protect yourself! Why you hooking up with a guy that doesn't pay his bills and has judgments against him? You sound like you have it together and should find someone to back you, not make it harder!

Answer 10

Hehehe...do NOT do it. Not only would he own half of the profit, but he would own half of the house, while the entire mortgage liability remains with YOU.

Yes, if he has judgments, owned property can be attached.

Don't let this woman talk you into mixing your apparently good credit standing with that of your apparently NOT so good boyfriend.

Answer 11

The answer to all of your question sis yes. His liens would attach, he would be half owner and could block any attempt to made to sell if you didn't give him what he wants.

This is a terrible idea. NEVER put anyone on the title unless they are obligated on the loan unless you are married to them or, perhaps, if they are a relative.