dumbmistake asked:
I cosigned on a mortgage AND home equity loan over 5 years ago for my sister (and her husband) under the verbal agreement that they would get their act in order and refinance to get my name off the mortgage and loan within a year or two. Well it’s been over 5 years and not only are they doing nothing to get my name off their debt, but they have completely ruined their credit as well as mine. I am on the deed but with only 1% interest. I have been asking her for the past 2 years to hold up her end of the agreement to no avail. I recently got married and purchased a home of my own – but could not put my name on our house because I am carrying this other debt. My husband is carrying all of our debt under his name, while I am carrying my sister’s. I’m pretty much screwed unless this gets taken care of. I am currently seeking legal advice, and quite possibly will take her to court, but that will cost me a lot of money. Does anyone have any insight on how to handle this situation?
I am thinking there must be a way to force her to sell the house to repay the mortgage and the home equity loan – and thereby satisfying the loan that’s under my name?
ALLEN
I cosigned on a mortgage AND home equity loan over 5 years ago for my sister (and her husband) under the verbal agreement that they would get their act in order and refinance to get my name off the mortgage and loan within a year or two. Well it’s been over 5 years and not only are they doing nothing to get my name off their debt, but they have completely ruined their credit as well as mine. I am on the deed but with only 1% interest. I have been asking her for the past 2 years to hold up her end of the agreement to no avail. I recently got married and purchased a home of my own – but could not put my name on our house because I am carrying this other debt. My husband is carrying all of our debt under his name, while I am carrying my sister’s. I’m pretty much screwed unless this gets taken care of. I am currently seeking legal advice, and quite possibly will take her to court, but that will cost me a lot of money. Does anyone have any insight on how to handle this situation?
I am thinking there must be a way to force her to sell the house to repay the mortgage and the home equity loan – and thereby satisfying the loan that’s under my name?
ALLEN
WELDON
I’m sorry, but YES you are screwed.
This is why you should NEVER!!!!!!!!!!!! co-sign for anyone. ANYONE, especially family.
Remember, if the bank thinks they are a bad risk, listen to them.
CLAY
You’re doing the right thing seeking legal advice. Technically without an attorney, there’s no way to get your name off the mortgage unless they refinance or it’s paid off. Hopefully an attorney can help determine what other options you have.
JOSHUA
There is NO Way to get off it unless she refinances. Even going to court your name cannot be removed from the loan- that would be like the mortgage company just changing their mind in the middle of a mortgage. With the way the mortgage market is now if they have been slow on payments they will have a difficult time refinancing.
CARTER
The only way to get off a mortgage is for the other owners to refinance. If you have an interest in the property, you’re not actually a co-signer…you’re an owner. Different deal.
As someone else said, don’t co-sign, ever, for anyone, under any circumstances, and especially not family.
Your husband can add you to the warranty deed of the home, even if you’re not on the mortgage. Talk to a title company about doing that, or a lawyer. Don’t know what state you’re in, and things vary from place to place.