How can I flog my house to someone who wishes to buy it but have no credit? I own a mortgage and he pays?
his bills and is trustworthy but has never established credit..Is there a channel to do this? It would include the mortgage, taxes, water bill, and Insurance..It would suck that I have a buyer and can't put up for sale because of one glitch! thanks!
Answers:
Not too long ago seller like you sold their homes, transferred title to their buyer and took back a mortgage on their own. It is call a Land Sale Contract. Your buyer would make his house payments to you, including interest. You would have to agree on how to arrange for property tax and homeowner's insurance. My parents did this in the 80's, they bought an extra house to rent to tenant and made payments to their seller. I guess the seller enjoy the payments my parents were making, especially the interest rate because my mom told me their sellers be very angry when my parents paid them sour early (there was no prepayment penalty). I would suggest that you palm off no prepayment penalty on your buyer because one day he may qualify for a mound loan on the house and could pay you off and make smaller your risk of having to ever foreclose, i would think that would be unpleasant.
Glitch? This is a huge problem. If you hold the mortgage and he pays, you have to report the payments that he makes to you as income. Next, where on earth are you going to live? If you have one mortgage, are you able to qualify for another? I do not believe a verbs of ownership is possible at all since the mortgage company has a lein on the property and that lein have not been satisfied. Please speak next to an attorney and/or financial advisor to get the whole plus and minus of what you are proposing to do. Good Luck.
He needs to take a small credit card and make purchases(small ones) and pay it past its sell-by date every month. This is what I did to establish my credit. you could sell it to him on land contract until he get credit and can buy it.
Can you rent it to him until he have established credit? It's probably going to be a few years before he will qualify for a mortgage if he has no credit. I wouldn't only add him to the deed as he is afterwards part owner of the property. You are still responsible for the mortgage but if you decide to market to someone else, he's on the deed so gets a cut. I would right to be heard if you NEED to sell and can't wait for him to establish credit, verbs and find a new buyer. Good luck!
Transfer the title to his name.. the mortgage and ownership are not actually equal thing.
You want to trust your house, your mortgage and your credit to a complete stranger who doesn't even enough credit to buy a bicycle on time? Are you brain-damaged?
Do you really want to risk your credit on someone who does not have credit??
DO NOT ALLOW HIM TO TAKE OVER THE PAYMENTS. The dune will not allow this and if he stops paying YOU!! will be fully responsible.
The lender can use rent payments, electric bills, etc,
In our marketplace having no credit is still better than having impossible credit. Get him/her into see a mortgage broker to see what options / terms are available. Source(s): www.adamstradt.com
You may want to ask the federal government. They are experts contained by this field
the fact that he have no credit is a huge glitch. he has no credit, so getting a loan is going to be hard unless he puts a huge amount down. he could rate in cash, but i'm assuming that that isn't an remedy. only option i could see is that you hold the mortgage for the buyer. problem near that is that your lender still holds the lien on the home. that could be the recipe for disaster. i would talk to a legal representative before you make any deal.
Related Questions:
How to delete behind schedule mortgage payments bad credit report?
have five credit cards accounts, one auto-loan and three mortgage accounts. All accounts (except one mortgage account) current and up to date with no delinquinces.But on one of my mortgage accouns i have two 60 days lates in 2008 (first...
Answers:
Not too long ago seller like you sold their homes, transferred title to their buyer and took back a mortgage on their own. It is call a Land Sale Contract. Your buyer would make his house payments to you, including interest. You would have to agree on how to arrange for property tax and homeowner's insurance. My parents did this in the 80's, they bought an extra house to rent to tenant and made payments to their seller. I guess the seller enjoy the payments my parents were making, especially the interest rate because my mom told me their sellers be very angry when my parents paid them sour early (there was no prepayment penalty). I would suggest that you palm off no prepayment penalty on your buyer because one day he may qualify for a mound loan on the house and could pay you off and make smaller your risk of having to ever foreclose, i would think that would be unpleasant.
Glitch? This is a huge problem. If you hold the mortgage and he pays, you have to report the payments that he makes to you as income. Next, where on earth are you going to live? If you have one mortgage, are you able to qualify for another? I do not believe a verbs of ownership is possible at all since the mortgage company has a lein on the property and that lein have not been satisfied. Please speak next to an attorney and/or financial advisor to get the whole plus and minus of what you are proposing to do. Good Luck.
He needs to take a small credit card and make purchases(small ones) and pay it past its sell-by date every month. This is what I did to establish my credit. you could sell it to him on land contract until he get credit and can buy it.
Can you rent it to him until he have established credit? It's probably going to be a few years before he will qualify for a mortgage if he has no credit. I wouldn't only add him to the deed as he is afterwards part owner of the property. You are still responsible for the mortgage but if you decide to market to someone else, he's on the deed so gets a cut. I would right to be heard if you NEED to sell and can't wait for him to establish credit, verbs and find a new buyer. Good luck!
Transfer the title to his name.. the mortgage and ownership are not actually equal thing.
You want to trust your house, your mortgage and your credit to a complete stranger who doesn't even enough credit to buy a bicycle on time? Are you brain-damaged?
Do you really want to risk your credit on someone who does not have credit??
DO NOT ALLOW HIM TO TAKE OVER THE PAYMENTS. The dune will not allow this and if he stops paying YOU!! will be fully responsible.
The lender can use rent payments, electric bills, etc,
In our marketplace having no credit is still better than having impossible credit. Get him/her into see a mortgage broker to see what options / terms are available. Source(s): www.adamstradt.com
You may want to ask the federal government. They are experts contained by this field
the fact that he have no credit is a huge glitch. he has no credit, so getting a loan is going to be hard unless he puts a huge amount down. he could rate in cash, but i'm assuming that that isn't an remedy. only option i could see is that you hold the mortgage for the buyer. problem near that is that your lender still holds the lien on the home. that could be the recipe for disaster. i would talk to a legal representative before you make any deal.
Related Questions:
How to delete behind schedule mortgage payments bad credit report?
have five credit cards accounts, one auto-loan and three mortgage accounts. All accounts (except one mortgage account) current and up to date with no delinquinces.But on one of my mortgage accouns i have two 60 days lates in 2008 (first...