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How risky is it to co sign a mortgage for a relative?

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Answered 2011-09-13 05:17:28

It depends on how dependable the relative is, but generally it is *incredibly* risky. If your relative can't make the payments for some reason, then you are responsible for paying that mortgage. If you don't pay, then it will show up on your credit report, and that can hurt you financially. Plus, if the house goes into default or sells for less than you owe, the mortgage company can ask for a judgment against you, and you will hav to pay the difference. It is just as risky as buying a house for yourself, with fewer benefits.

However, if your relative is a responsible person that you trust, then it is a very nice thing to do. If your relative makes the payments on time and works up his or her credit, then he or she might be able to refinance the home without you having to co-sign in the future. ... But they might have the option of buying a house now without your signature, just a smaller house.

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No. If you didn't co-sign the mortgage then you have no obligation to pay it.


No, you can't use your spouse's income on a mortgage loan if she isn't going to "sign" it as a co-borrower. Only the incomes of those who sign for the loan are considered.


A relative that lives out of the country cannot co-sign for a car loan. Financial institutions require a signer and co-signer to be a US citizen or a US permanent resident with green card.


If you are not on the deed then you don't own the property. If you don't own the property then you should not promise to pay the mortgage. A co-signer on a mortgage and promissory note is completely responsible for paying the mortgage. If the primary mortgagor (who in this case is the owner of the property) defaults on the mortgage the lender will go after the co-signer of the note for payment. A default will ruin your credit. If someone has asked you to sign their note and mortgage then you should require they execute a new deed with you as the co-owner of the property.


If two people own property and apply for a mortgage they must each sign and they would be called co-signers or co-borrowers. If you are the sole owner you are not called a co-signer. In that case you are simply the mortgagor.


No. A non-owner should NEVER sign a mortgage. A person who has no interest in the real estate should have no interest in promising to be responsible for the mortgage debt. If someone who does not own the property signs the mortgage they are promising to pay for property they do not own. If the primary borrower defaults, the bank will go after the co-signer.


If you did not sign the mortgage then you have no obligations relating to it. You are not responsible for any deficiency. If you owned the property at the time the mortgage was executed by a co-owner, the lender cannot foreclose on your interest at all. If you received your interest by deed after the mortgage was executed the lender can take possession of the property and you will be dispossessed of your interest.


The mortgage must be paid off and refinanced without the co-signer.The mortgage must be paid off and refinanced without the co-signer.The mortgage must be paid off and refinanced without the co-signer.The mortgage must be paid off and refinanced without the co-signer.


The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.The owners of the property must sign the mortgage so the lender can take possession by foreclosure in the case of a default. Any co-signer should be fully informed that they will be responsible for paying the mortgage if the primary borrower defaults.


If you own an interest in the property and didn't sign the mortgage then your interest isn't covered by the mortgage. Assuming only the co-owner signed a mortgage, in the case of a default the bank could only foreclose on their interest, not yours.


A mortgage must be signed by all the owners of the property. One co-owner cannot mortgage the property because the lender needs to have the right to take the property by foreclosure in case of a default. If all the owners didn't sign the mortgage the bank cannot take full possession of the property.A mortgage must be signed by all the owners of the property. One co-owner cannot mortgage the property because the lender needs to have the right to take the property by foreclosure in case of a default. If all the owners didn't sign the mortgage the bank cannot take full possession of the property.A mortgage must be signed by all the owners of the property. One co-owner cannot mortgage the property because the lender needs to have the right to take the property by foreclosure in case of a default. If all the owners didn't sign the mortgage the bank cannot take full possession of the property.A mortgage must be signed by all the owners of the property. One co-owner cannot mortgage the property because the lender needs to have the right to take the property by foreclosure in case of a default. If all the owners didn't sign the mortgage the bank cannot take full possession of the property.


You could not be approved for a mortgage because your credit was too poor and you needed a co-signer. Your co-signer was wise enough to arrange that the title be in his name also. You signed the mortgage application and the note. Through inadvertence and error the bank didn't have you sign the mortgage. It has enough evidence to "reform" the mortgage in court. You are responsible for paying the debt.


The grantee on the deed is the owner of the property. Others who are not owners may co-sign the mortgage. Co-signing does not give ownership.


No. A person who co-signs a mortgage when they are not on the deed has simply volunteered to pay the mortgage if the primary borrower stops paying. The co-signer of a loan or mortgage is equally responsible for paying the debt. Co-signing bestows no ownership interest in the property.No. A person who co-signs a mortgage when they are not on the deed has simply volunteered to pay the mortgage if the primary borrower stops paying. The co-signer of a loan or mortgage is equally responsible for paying the debt. Co-signing bestows no ownership interest in the property.No. A person who co-signs a mortgage when they are not on the deed has simply volunteered to pay the mortgage if the primary borrower stops paying. The co-signer of a loan or mortgage is equally responsible for paying the debt. Co-signing bestows no ownership interest in the property.No. A person who co-signs a mortgage when they are not on the deed has simply volunteered to pay the mortgage if the primary borrower stops paying. The co-signer of a loan or mortgage is equally responsible for paying the debt. Co-signing bestows no ownership interest in the property.


No, not as long as they didn't co-sign the mortgage. However, if the parents have died and their property is subject to a mortgage the lender will foreclose on the property if the mortgage isn't paid. If the heirs want to keep or sell the property they must keep the mortgage payments current.


No. Not unless you co-signed the mortgage. If you co-signed you are responsible for paying the mortgage.If you stand to inherit his property, the estate must be probate and the mortgage must be paid or the lender will take possession of the property by foreclosure.No. Not unless you co-signed the mortgage. If you co-signed you are responsible for paying the mortgage.If you stand to inherit his property, the estate must be probate and the mortgage must be paid or the lender will take possession of the property by foreclosure.No. Not unless you co-signed the mortgage. If you co-signed you are responsible for paying the mortgage.If you stand to inherit his property, the estate must be probate and the mortgage must be paid or the lender will take possession of the property by foreclosure.No. Not unless you co-signed the mortgage. If you co-signed you are responsible for paying the mortgage.If you stand to inherit his property, the estate must be probate and the mortgage must be paid or the lender will take possession of the property by foreclosure.


You can go to your local bank, talk to your financial advisor, see if you are qualify to get a mortgage if you have a bad credit history. They probably need you to have a guarantor co-sign your mortgage.


A co-signer to a mortgage accepts full responsibility for the payment of the mortgage. Although it is not required for mortgage purposes that the co-signer have an interest in the property, that concept triggers another question.Why would a person who does not own real property accept the responsibility for paying for it? The bank wants a co-signer so that if the primary borrower defaults it can go after the co-signer for payment of the debt.If after being fully informed of your obligations, risks and possible consequences of co-signing you decide to co-sign a mortgage you should make certain your name is added to the title.


When you co-sign on a loan or mortgage for someone, you are promising to make the loan payments if they can't. When someone files for bankruptcy, they are claiming that they cannot make their payments. It would stand to reason that if someone you co-signed on a mortgage for files for bankruptcy that you would then be liable for making the payments.


A mortgage must be signed by all the owners of the property because if the mortgage isn't paid the lender must be able to take possession of the property by foreclosure. If only one person signed the lender can only take that person's interest and not the interest of the co-owner who didn't sign the mortgage.A mortgage must be signed by all the owners of the property because if the mortgage isn't paid the lender must be able to take possession of the property by foreclosure. If only one person signed the lender can only take that person's interest and not the interest of the co-owner who didn't sign the mortgage.A mortgage must be signed by all the owners of the property because if the mortgage isn't paid the lender must be able to take possession of the property by foreclosure. If only one person signed the lender can only take that person's interest and not the interest of the co-owner who didn't sign the mortgage.A mortgage must be signed by all the owners of the property because if the mortgage isn't paid the lender must be able to take possession of the property by foreclosure. If only one person signed the lender can only take that person's interest and not the interest of the co-owner who didn't sign the mortgage.


If you both own the real estate- yes. If you are the owner the bank may want your husband to co-sign.


A person who is not on the deed should never sign a mortgage. By doing so they are agreeing to pay the mortgage on another person's land. If the owner of the property defaults on the mortgage the bank will also go after the co-signer even if they don't own the land.


They can pay the back money prior to the sale, or get the hit with the son. My son asked me to co-sign a loan. I said no for this reason. Let them become adults on their own.


The name on the deed is the owner of the property. The name on the mortgage is the person who must pay the debt underlying the mortgage. Prior to the recent lowering of mortgage standards across the country (leading to the sub-prime crisis), the lender would always confirm that ALL the owners on the deed also executed the mortgage. If the mortgage is subsequently foreclosed that enables the lender to take title to the property. If only one co-owner signed the mortgage the lender would only get that proportionate interest in a foreclosure. If you don't own the property and you sign the mortgage you are placing yourself in a position of debt for property you don't own. Many lenders are asking non-fee-owners to co-sign notes. That way if the owner goes into default the lender can go after the co-signer for payment. It is a very bad practice with no benefit to the non-owning co-signer.


Yes. Generally, that is the only way to remove a co-signer from the obligations under the mortgage.Yes. Generally, that is the only way to remove a co-signer from the obligations under the mortgage.Yes. Generally, that is the only way to remove a co-signer from the obligations under the mortgage.Yes. Generally, that is the only way to remove a co-signer from the obligations under the mortgage.



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