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I am looking to take over the mortgage loan for my parents, as my father passed away, and my mother is on limited income. Problem is that I don't have great credit. Is there a way to put the loan in my name without having to go through the approval process?

by greg768 from Holland, Texas. Mar 24th 2016 Reply


William J Acres (William_Acres)
#2 ranked lender in Arizona - 7,933 contributions

Much more info needed.. but in general, No.. in fact, it's illegal in most cases.. Most government loans are assumable WITH qualifying.. so if she has an FHA, VA, USDA or reverse mortgage then those loans might be able to be assumed with full qualifying.. if it's a conventional loan (Fannie Mae or Freddie Mac), or a private or portfolio loan, then in nearly all cases, they cannot be assumed.. Also, you might want to speak to a financial adviser/planner.. There is really no benefit for you to be added to the loan.. if you inherit the home upon your parents passing (assuming it's their primary residence), then you would be able to assume the existing loan without having to qualify.. and for tax purposes, it's possible there would not be any tax liability as a result of your inheritance of the property.. Prior to your fathers death, you could have been added to the deed (so long as he didn't REMOVE anyone), then that would have been ok.. but now since he's gone, your mother would need to remove him from the title and inform the lender about your fathers passing, and then she can apply for a new deed in her name only.. once that's done, then she can add you to the title and in most all instances, it would not trigger the "Due on Sale" clause.. There are literally a hundred different scenarios where the advise would be different, but without knowing all the details, its impossible to say.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347

Mar 24th 2016
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Barb Lanis (BarbLanis)
#71 ranked lender in Illinois - 662 contributions

Assuming your mom is over 62, still living in the home, and wishes to continue living there, she could consider a reverse mortgage. You would have nothing to do with the mortgage. It's not a bad program for seniors that want to stay in their home. The are no mortgage payments. I'm not a reverse mortgage pro, but I can get you to someone in my company who can provide guidance.

Mar 24th 2016
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