this home is being rented out at this time,unfortunatley houses in my city are not selling .My renter is interested in my property and I would like to quick deed my house to them ,I have my own home but I want out of this complete loan .What can I do?
2007-08-19 16:48:34 · 5 answers · asked by Rufino e 1 in Business & Finance ➔ Renting & Real Estate
Tell them you need a downpayment and if you do decide..... go threw Title Company to have it done legal.
2007-08-19 17:00:20 · answer #1 · answered by Mustbe 6 · 0⤊ 0⤋
Well, just make it worth your while. Don't quick deed it, just get a really good lease/option (they are two contracts and the option contract is broken when the lease is broken - so you're protected). Take a couple hundred, if you can, over your payment,and maybe get a couple of thousand down, or at least some trade like a car or something to allow them to earn the right to buy it without credit (they must not have credit enough or they would have gotten a loan right?). Set the lease/option for two years. Give them two years to get a loan, and send the payments directly through a bank account as direct deposit, so they have proof of paying on time for their lender. If they try to increase their credit, they should easily have a good 680 fico score in two years to finance a loan to buy your house.
Just never panic. God is in the details. Trust a little and do it right for the benefit of the both of you.
2007-08-20 00:00:41 · answer #2 · answered by 98765 3 · 0⤊ 0⤋
If you have a willing buyer, the first thing you would need to know is if t hey are qualified to purcahse a home and get a loan?
So in order for you to find this out you need to introduce them to a mortgage broker in your city where you live.
He will complete a loan application for them, run a credit check and see where they stand as far as purchasing the house. He will be able to tell them if they are qualified for a loan or not. If they are qualified he will direct you and the borrowers through the rest of the process.
Let's take care of the quit claim deed at this juncture. It is legal and you may quit claim the deed to you renters. They would become the owners of the property.
This method, however, will not relieve you of the responsibility of the mortgage note you have signed.
In order for you to rid yourself of the mortgage they must qualify to assume your mortgage with your mortgage company. They normally charge a fee of about 1 point for this asssumption procedure.
Your mortgage company will complete a loan application for them, get a credit report on them, check out their income they earn, the jobs they have and the length of time they have been on each. Again as with the mortgage broker, if they are qualified your mortgage company will take them through the rest of the process.
If you quit claim them the property you will have to carry the mortgage with your name still on the original mortgage. You will charge them the difference of what is still owed on the mortgage and and the sale price. This will become a second mortgage that is owed to you, and they will have to sign a note and deed of trust that will be made up by the escrow company and signed by your renters.
Now find a title company to handle this transaction for you. You must also draw up some type of contract between the two of you as to the down payment, interest rate, the amount of the mortgage that will be owed to you, the number of years that you will carry your second mortgage.
When you find a title company make sure that you take a copy of this contract to the title company with you.
You have to decide between the three choices and which you want to do. If they can't qualify for the loan or asssume your existing loan, then you will have to carry the mortgage for them. It is legal and the title company's escrow will handle the paper work for you.
I hope this has been of some use to you, good luck.
"FIGHT ON"
2007-08-20 01:45:12 · answer #3 · answered by loanmasterone 7 · 0⤊ 0⤋
Dont do a quick deed.... it is a good way to get screwed.
Just let them get a mortgage, and do a regular sale.
2007-08-19 23:56:06 · answer #4 · answered by Mike 6 · 0⤊ 0⤋
why not offer it as a lease option?
2007-08-23 00:46:55 · answer #5 · answered by kemperk 7 · 0⤊ 0⤋