Quick question. Has anyone transferred their conventional financing held by the couple to just one person? What is the Fannie Mae Freddie Mac blowback with this? If any.
In case anyone is concerned: marriage is in fine shape, we just want to up the amount of loans we can take. We have one that is shared, and want to move that to one of the two of us.
Unfortunately, there's no way to transfer the mortgage liability from one spouse to another. If you need to get the mortgage solely into the other spouse's name, the only option is a refi.
How are you planning to make this transfer? No lender I know of allows you to transfer your house debt. You signed the promissory note. You can transfer the property but not the debt. Your option is to have your wife refi, but she would have to qualify on her own.
Typically, lenders aren't in the business of creating debt that you can "transfer". :)
I do not believe you can just transfer the loan to one spouse. You would have to do a full refinance which may or may not be worth it depending on your interest rate and closing costs.
I was interested in doing this myself since i unfortunately did not think of separating loans when i bought my 4 unit. However if i refinanced i will be giving up my 3.8% interest rate for a 4.3% rate which is not worth it for me.
@Mark F. K.marie P.
Thanks for your quick responses.
I realized the phrasing of my question makes it sound like the answer is a bit obvious (or I am a fool, your pick :). So I appreciate your patience. I am aware of the refi option, and would not want to do that because of the interest rate I would sacrifice, as mentioned by @Nnabuenyi Anigbogu .