This is my first post :) I am considering (if it's possible of course) taking over my brother's mortgage when he finds a bigger home for him and his growing family in the coming year.
I apologize in advance if I sound like a newbie, but is this possible only with certain types of mortgages? I have Excellent credit and ample funds in case of repairs etc.Also the home is in a very good area (close to schools about 1500 sq ft 3 bed 2 bath)
Also my brother and father are contractors so that always helps for future maintenance.
I thought without paying any realty/ closing fee's this could be a great and profitable way to get my first single family rental going.
Any advice/ guidance would be appreciated!
First question is whether the loan is assumable.
Does your brother need to sell this home to buy another? If not, then you could basically just rent it for the cost of the mortgage payment.
As Al mentioned, if the loan is assumable, you can take it over through the banks process. Fees and such are going to apply in most cases.
Yeah he does , thanks guys! I'll check what kind of mortgage he has on it. I could also buy it outright with cash in one year time , or get my own mortgage on it. Just thought taking it over the way he has it may be easier (less fees)
Most residential mortgage loans these days are not assumable, so you will probably want to be thinking about your Plan B. Good luck.
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