QUESTION
Can my brother transfer his loan mortgage to one of us?
Asked on Nov 20th, 2012 on Estate Planning - Indiana
More details to this question:
My sisters and I are on the deed together with my brother. However, the only person that is on the loan is my brother.
15 ANSWERS
Tax Attorney serving Naples, FL
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Henderson, Franklin, Starnes & Holt, P.A.
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Only with authorization from the bank.
Answered on Apr 30th, 2013 at 12:54 AM
Bankruptcy Attorney serving Alpena, MI
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Carl C. Silver Attorney at Law
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Only if the mortgage company agrees to it.
Answered on Apr 30th, 2013 at 12:46 AM
Civil Litigation Attorney serving Aptos, CA
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Richard E. Damon, P.C.
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No.
Answered on Apr 30th, 2013 at 12:45 AM
Civil Litigation Attorney serving Ventura, CA
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The Law Office of Robert I. Long
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No.
Answered on Apr 15th, 2013 at 7:05 AM
3 Awards
The question is really whether the loan may be assumed, and if so what steps are necessary to take with the lender if the loan is assumable. Without reviewing the promissory note it is impossible to answer the questions. Accordingly, you need to review the promissory note and you may wish contact the lender or speak with an attorney if you should have any questions. If the loan is not assumable an option may be to refinance the existing loan.
Answered on Nov 27th, 2012 at 10:09 PM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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No, this cannot be done. Your brother could refinance, and at that point, you could all be added. Otherwise, the original loan stands, as is.
Answered on Nov 22nd, 2012 at 4:21 PM
It depends upon the wording of the mortgage but in all likelihood refinance is the only way to transfer the loan to one of you.
Answered on Nov 22nd, 2012 at 4:21 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Probably not without the lender's consent, as the lender generally has a due on transfer clause in the loan; the lender has the right to qualify the new borrowers as to their ability to perform the loan terms. Once qualified, the lender will have the new borrowers sign assignment documents transferring the loan; however, the original borrower will remain secondarily liable in case new borrowers don't perform the terms of the loan. Probably best to obtain new loan, thereby relieving the original borrower of any liability.
Answered on Nov 21st, 2012 at 1:05 PM
Thomas Edward Gates
You cannot transfer the loan, you would need to refinance.
Answered on Nov 21st, 2012 at 11:37 AM
Business Litigation Attorney serving Orange, CA
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Law Offices of Frank Granato
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You need to discuss the matter with your lender.
Answered on Nov 21st, 2012 at 9:30 AM
Elder Law Attorney serving Hollister, CA
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Charles R. Perry
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The only way to transfer the mortgage is with the consent of the lender. Any attempt to transfer the mortgage without the lender's consent will be void as to the lender, who will still have all its rights against your brother.
Answered on Nov 21st, 2012 at 9:26 AM
The loan mortgage is between your brother and the lender only. He cannot make you liable on the mortgage without your consent by signing a mortgage yourself with the lender. There is absolutely no reason for you to do so because as a co-owner on the deed you can pay if he fails to do so and, if you were a co-owner before he signed his mortgage, the lender cannot foreclose against you or your sister's interest in the real estate, which, as a practical matter, makes doing so of little value to the lender.
Answered on Nov 21st, 2012 at 9:26 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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Then it would appear that it is your brothers loan, with the loan being secured by the mortgage on the house. It will be up to the bank as to whether or not they are willing to transfer the property or liability for the note to another party. You could refinance.
Answered on Nov 21st, 2012 at 9:25 AM
You will need permission from your mortgage company. They may require you to obtain a new loan with everyone's name on it.
Answered on Nov 21st, 2012 at 9:25 AM
William H. Von Willer
It would be up to the mortgage holder to consent to an assignment of the loan to someone besides your brother. Of course, you would have to consent as well.
Answered on Nov 21st, 2012 at 9:24 AM