refinancing. For first time buyers.?

Question

My dad is giving me one of his house now that i turned 18 and it is being put into my name and my fiance's name. He is transferring the title of the house within the next few weeks the house still has $100,000 left. Me and my Fiance are trying to build up our credit so we can refinance the house Currently the mortgage is in my dads name and he wants to transfer it. Would me and my finace be able to refinance since the house in our names? if we can what will be involved? will i have to put money down, will i need Good credit etc.
And if not what can we do to get the mortgage in our names?

Thanks in Advance.

Answer 1

Your father will have to sell the house to you to get the mortgage in your name, unless it's an assumable mortgage which most are not. Since upon transfering title all liens on the property in his name will need to be paid off. The problem is being so young you probably don't have the credit, employment history, or income to be able to get a purchase loan, perhaps your dad would be willing to still cosign on the loan. Depending on how much equity is already in the home and what he sells it to you for you may not need to pay a down payment, but you would need to be able to pay for the closing costs, i.e. appraisal, attorney fees, and lender fees, usually around $5,000. Good luck

Answer 2

I don't think you're going to be able to refinance. Refinance, I think, is something your dad can do since his name is already on the loan documents. I think what you would need to do is apply for a new home loan. If your dad wants to just transfer the current debt of $100,000, then you'd basically be buying the house for $100,000 from him.

You'll want to check with a professional about that. I know that you can get a free quote and information at https://www.finfo.com/lead/newhome .

Best of luck!

Answer 3

At your age, with your limited credit file, you're not going to qualify for a mortgage without a co-signer, probably your father. Much would depend on the value of the property in question relative to the amount of the mortgage. If there is a lot of equity in the property, it will be easier.

Check with a mortgage professional to determine what may be available to you.

Answer 4

Just buy it from your dad.
How much does he want? You can make the purchase price for a fair market value and have you dad carry a note for the difference of what he really need to get back from it.
For example, he owes 100k and maybe its worth 400k.
get a loan for the 100k and have him carry a note for 300k.
After the close of escrow, he can shred the note. you have a 100k mortgage, and he pretty much gave you the property and the payments.

Answer 5

You’d be buying the home from your dad. Your dad’s attorney can help you with that.

PLEASE ask that attorney to also put a written agreement in place regarding what happens should your union end. If if never does, you’re none worse for the wear and if it does, you’re covered. You have no idea how important that is.