me & boyfriend on mortgage, I 've ran into some problems (health issues etc) and I need get off mortgage, do you foresee it being a problem being taken off mortgage?? boyfriend has good credit.
2007-10-28 06:59:58 · 2 answers · asked by smiles_amile 2 in Business & Finance ➔ Personal Finance
I foresee lots of problems. You can't be taken off the mortgage. He would have to refinance it in his name alone to get you off the mortgage.
That's a problem as well since most lenders won't do a mortgage if there is any other person on the deed unless it's a joint mortgage as well. Therefore you would have to surrender your interest in the property for him to refinance the property in his own name alone.
If you don't have much equity that might not be too bitter a pill but if you do have substantial equity, do you really want to make an irrevocable gift of your share of the equity to your boyfriend? Unless he's willing and able to buy out your share of the property, that's what you would have to do.
If you do gift your equity to him there could be Gift Tax consequences. Depending upon the amount of equity a Gift Tax return will be required although your lifetime exclusion of $1,000,000 would probably side-step any actual tax.
You need to think this whole thing through carefully and consult with an attorney (YOUR attorney, not his or a joint attorney!) before you proceed with any changes in the status quo.
2007-10-28 07:08:23 · answer #1 · answered by Bostonian In MO 7 · 0⤊ 2⤋
Yes, especially with the market how it is right now. They have really cracked down on the whole mortgage thing.
2007-10-28 14:03:26 · answer #2 · answered by phillip 3 · 0⤊ 2⤋