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I am on the deed but not the mortgage

Hi, I was divorced several years ago and I got the house. I am on the deed, but not the mortgage. I need to get a mortgage in my own name now. We owe about $91K on the first mortgage and about $14K on the second. I've never had a mortgage so would I be a first time home buyer, even though I'm on the deed? Is this a refinance? I"m a little confused since our situation is somehwhat unique. I have a FICO score of 741, my new husband's is in the 600's, I believe. He had a bankruptcy in 2010 and I had one in 2003. Since the time of our bankruptcies, ALL our accounts have been paid in full every month, on time, or early, and for installment loans (my car), the payment is almost always more than the required amount. I get $1000/mo in child support, $1000/mo in SSD, and about $400/mo in part time wages. My husband just got out of the Army and is now making about $2500/month.So our combined monthly income is about $4500 and we have one car loan for $425/month. Can we even qualify for a mortgage? Are there special programs since my husband is a veteran? He's only had his job for about 6 months since he just separated from the Army in June. My SSD income has been in place since 1999, and my part time job I have had for 4 months. I'd appreciate any advice. My husband was a roofer for 20+ years prior to enlisting in the Army when the economy tanked. Now that he's out of the Army, he's back to roofing again, so he's in the same line of work. Thanks

by workingk9820 from Miamisburg, Ohio. Nov 20th 2013 Reply


Kimberly Lawson (kilawson)
#55 ranked lender in Ohio - 150 contributions

Hi, Thanks for all of the details, it helps us provide a better answer. 1) If you're on the deed, it's a refinance because you cannot "purchase" something you already own. The bigger question since you've provided what you owe is to figure out what the home is worth. This would determine if it's possible to do a new mtg and if so it'd allow us all the opportunity to figure out which loan program may work best for you. If nothing else, we may be able to get the 1st mtg refinanced, subordinate the 2nd and deal with that separately..? Just a thought..2) You could add the new husband to the mortgage if you'd like however, the programs and terms available would be based on whoever has the lower middle score between the both of you. So since the home is in your name and not his, maybe since your score is higher if your debt to income ratio is good, then just have him sign as Dower at closing as well. If you would still consider adding him.. I would ask if he is "self employed" or actually "employed" by someone (roofing)? If employed then yes we should be able to use his income, if self employed, it might be tricky if not impossible to use his income; at least until he has a new two year history of filing tax returns.Last tidbit I could add is, if your ex-husband never signed a quit claim deed for your home, then he'd need to be present at any/all closings to sign a few documents.If I can answer any add'l questions, I'd be happy to help. Best wishes otherwise, Kimberly Lawson, Licensed Mortgage Loan Originator- Ohio only. Contact and licensing information can be found on my profile.

Nov 20th 2013
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Lisa Puto (putosnl)
#43 ranked lender in Ohio - 3 contributions

Hello,I will answer each subject :)Deed: Because you received the home in the deed and you do not have a mortgage in your name - are you responsible for the remainder of the mortgage or is your x husband in your divorce ? - it is a refinance. Adding your husband, now~Yes if your current husband qualifies - he could be on loan with you as long as you both qualify in credit and income; which you would have to apply to find this out . Value- need to make sure you have the equity or value needed.Income: In regard to your income and his - would need to review your last two years tax returns and year to date pay stubs for both .Child support may be used if we can prove two things - if it has been paid on time for 12 months and you will receive it an additional 3 years same with social security (depending).Credit: as long as you both have two to three creditors paid on time in the last 12 of 24 monthsreported on the credit report and a high enough score - should be fine ( there are some exceptions).Hope this was helpful and thorough ! Best Regards,Lisa

Nov 20th 2013
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Lisa Puto (putosnl)
#43 ranked lender in Ohio - 3 contributions

Hello,I will answer each subject :)Deed: Because you received the home in the deed and you do not have a mortgage in your name - are you responsible for the remainder of the mortgage or is your x husband in your divorce ? - it is a refinance. Adding your husband, now~Yes if your current husband qualifies - he could be on loan with you as long as you both qualify in credit and income; which you would have to apply to find this out . Value- need to make sure you have the equity or value needed.Income: In regard to your income and his - would need to review your last two years tax returns and year to date pay stubs for both .Child support may be used if we can prove two things - if it has been paid on time for 12 months and you will receive it an additional 3 years same with social security (depending).Credit: as long as you both have two to three creditors paid on time in the last 12 of 24 months reported on the credit report and a high enough score - should be fine. there are some exceptions).Hope this was helpful and thorough ! Let me know if you would like to proceed.Best Regards,Lisa

Nov 20th 2013
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Tim Bradford (Tim Bradford)
#6 ranked lender in Ohio - 145 contributions

Dear Workingk9820, I agree with the others that say, the loan will be treated as a refinance. In order to qualify lenders will need to determine if the value of the property will support the loan. On top of that your (and your husbands) income and credit will need to be reviewed. As far as credit, it sounds like you should be good depending on his actual credit score. Dispite the detail you gave in your question, I suggest that you speak with a lender. It sounds like the Child Support and SSD will meet the requirements needed to count them. Because of the shorter time your husband has been back to work as a roofer and many roofers have seasonal employment that will be the key to your success. You are welcome to call me if you want to speak further. I will close in asking that you thank your husband for his service.

Nov 20th 2013
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Robert Hanson (rhanson)
#39 ranked lender in Maryland - 646 contributions

The previous posters are correct regarding this being a refinance. I am assuming that when you mention your husband, you are referring to your current husband and not your ex-husband. If so,it appears that I may be able to qualify you for a VA loan which will likely give you the best rate and liklihood of combining both the first and second mortgages. I would need to go over some other specifics with you to be sure. If you would like to pursue this, please email me at robhanson@emortgagegroup.com or call directly at 301-651-7822. Please leave a voicemail if I am unable to pick up and I will return the call immediately. Thanks!

Nov 20th 2013
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David Viox (David Viox)
#5 ranked lender in Ohio - 3 contributions

Hi, I appreciate the detail of your message. My name is Laura. Like everyone else has said you can refinance because your name is on the deed. Depending on when your husband's bankruptcy was discharged would make the difference if he could be on the mortgage. From what you've said your bankruptcy has been more than 4 years ago, so you won't have an issue with that. There are a couple follow up questions that would help determine if you would qualify or not. 1.) Do you have anything other than your auto loan that would be reporting on your credit report? 2.) If so, do they have balance and what are the minimum payments? If your current husband can't be on the loan with you because of qualifying purposes your debt to income ratios (based on what you've said) for you are qualifying, but tight. There are programs out there that can help you. I'd love to speak with you directly to get my questions answered and more importantly yours. Feel free to email me directly at llella401@vandymortgage.com or call me directly at 513-429-2122

Nov 21st 2013
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Bert Carpenter (BertCarpenter)
#1 ranked lender in Arizona - 1,827 contributions

Because you are on title, you are not a first time homeowner/buyer. If you were awarded the home in a divorce decree and have been making all the payments since, and on time, refinancing should be pretty easy. If you can qualify on your own, your scores and lack of a bankruptcy would probably get you a better rate. If you need your current husband's income to qualify, his bankruptcy and low credit score will make it more difficult and more expensive to refinance. Your best bet is to reach out to a local Mortgage Banker/Broker rather than one of the big banks or big national mortgage factories. Unlike a bank employee, who is most likely just an order taker, a Mortgage Broker/Banker is Trained, Tested and Licensed in all aspects of Mortgage Origination. We have access to loan products of MANY lenders, not just those of ONE bank, and can properly guide you. But more importantly, we are trained to take a look at the various different options available to you and guide you into the one that makes the best sense for your situation. The National Association of Mortgage Professionals has many very qualified Loan Originators. You can find one that serves your area at www.NAMB.org. Use the "Find a Mortgage Professional" search engine found on the right hand side of the home page. Insert your sate and click SEARCH. Don't forget to check out your selected Mortgage Originator at the National Mortgage Licensing System at www.NMLSConsumerAccess.org ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Certified by the National Association of Mortgage Professionals and Licensed in California and Arizona ~ www.LoansA2z.com 888-889-9950

Nov 21st 2013
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William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,726 contributions

Your not a first time home buyer since your already on title as an Owner.. so for you it would be a refinance.. you can use your child support and SSD income, however you will not be able to add your part time income since you would need to have that job for 2 years minimum for it to be counted.. and your husbands income could be considered so long as he's an employee.. If he's self employed, then your not going to be able to use any of his income until he has filed 2 years tax returns.. .. 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. 480-287-5714 WilliamAcres.com

Nov 21st 2013
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Thank you all so much for your replies. I will attempt to provide more info. According to our county real estate website, the tax appraisal on the house is "tentative" at $109,500 though we have made some significant improvements to the house in the past few years including complete kitchen and bath remodels, new AC, New furnace, new hot water heater and a new roof is going on this winter. My husband is not self employed, he is employed by a very large multi-million dollar commercial roofing company. My ex husband and I are close friends. He would be willing to do anything at all to help me get the house refinanced, up to and including co-signing for the refinance himself. He makes triple the income that my current husband and I make together. About $80K a year. Ideally, of course, I would like to qualify on my own (or with my husband) but I doubt that $840/mo in SSD, $1,000/mo in Child support, and $400/month in part time work will qualify me for a $106,000 mortgage. :(I am responsible for the remainder of the mortgage. I can sell the house and all equity is mine. I can refinance it and my ex will help in any way. I have been paying the mortgage for the past 12 months or so (prior to that, my exhusband paid the mortgage in lieu of child support. I knew that in order to be able to use the child support as income, I would need a record of it for at least 12 months prior so we took care of that last year and I have been receiving like clockwork it since that time-- he works for the Department of Defense so it's very regular). My children are 15 and 8 so I will be continuing to receive it for at least 10 more years. I have at least 7 creditors (a car loan and several credit cards) that I pay on time (or early), and always more than the minimum on items with a balance. NEVER a late payment since my bankruptcy 10 years ago. My husband has 2 credit cards he's established since his bankruptcy 3 years ago and it's the same story. We pay them off every month, except in cases where we have an "X-months same as cash" deal and we pay it off before the promotion expires and never incur any interest. So, some months there will show a balance on some of the credit cards if we are using a same as cash promotion with them, though they typically have a zero balance each billing cycle. I have AmEX, Discover, MC & Visa. The AmEX is paid off every month. I only use the MC & Visa twice a year and pay them off immediately (to keep them active and keep my lines of credit available). The Discover has a "same as cash" promo balance of about $2500 we are paying off until 8/2014. We have a CareCredit account with a $1900 balance that is also a zero interest promo also being paid off by 8/2014. We hope to pay them off early with our tax refund, in which case we would only have the car payment of $425/month in addition to the mortgage. I hope this helps answer any loose ends I left. I'm thinking trying to get qualified for a VA loan may be our best bet. I didn't think that PNC (the current mortgage holder) would work with me -- even though I make the payments every month, the loan is solely in my ex-husband's name so they won't even speak to me in regards to the mortgage. Needless to say, I have zero interest in dealing with PNC bank at this point.

Nov 23rd 2013
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I forgot to mention that his credit score is right around 700. I had added him as an authorized user on my cc accounts to help rebuild his credit score. Mine is around 745, i think.

Nov 23rd 2013
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Tim Bradford (Tim Bradford)
#6 ranked lender in Ohio - 145 contributions

Workingk9820, Based upon your added comment it would sound like you should be good on a loan request. You need to start an application with a lender. You are wecome to call me if you desire. I am an Ohio Lender and my NMLS # is 250013

Nov 23rd 2013
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Kimberly Lawson (kilawson)
#55 ranked lender in Ohio - 150 contributions

Hi, Thanks for the add'l details. You're already almost at 100% financing with both mortgages having a combined total of $105k. The tax assessed value could be more or less than actual "market value". However, that at least it gives us an estimate to base a conversation off of. Concerning the improvements you've done, the majority of them sound like maintenance and/or cosmetic. Nothing that would give you dollar for dollar add'l value, not like adding square footage. A concern may be, if the appraised/market value would be less. If it's less, then you may or may not have enough equity built up to cover paying off both mortgages plus closing costs. You could always bring the difference to closing except, on a fixed income, I could see how that may be difficult, unless since it's in your exhusband's best interest to get the mortgage out of his name, maybe he'd consider giving you a gift to cover any deficient balance (if any). -- With the creditors you have and the accts you mention, not knowing the monthly payments it's impossible to calculate a debt to income ratio to see if that fits. Something we all may or may not have covered is your income/employment; you collect SSDI which we can gross up 125% to $1250 (since the amt you receive is "net"). The "part time work" you do, so long as you've held that position for two years and/or have a two year history of working part time then we should be ok to use that income, if not then we would need to omit it. Your current husband's income, he's in the same line of work that he was in before his service (thank him) and after so his income should be fine; especially since he's "employed". On the accounts that require payment in full each month (credit cards) the new rules are that you'd have to have sufficient assets in the bank to prove you have those funds available to pay at the time of underwriting. ---- All in all, in my opinion, the scenario is a tight one but still possible but only on VA (Conventional nor FHA allows that high of loan to value). Plus if you can avoid mortgage insurance that will save you money each month. -- If you have add'l questions, I would be happy to help. Stay Blessed, Kim

Nov 23rd 2013
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David Viox (David Viox)
#5 ranked lender in Ohio - 3 contributions

Good Morning! Thanks for the additional information. I think that you do have mortgage options. You really need to sit down with someone, even if you don't move forward, to know exactly what your options are. Nobody is going to be able to tell you exactly what you can do until they look at your entire financial picture. From what you've told us, it sounds like you do have options if you are serious about moving forward.

Nov 25th 2013
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Robert Hanson (rhanson)
#39 ranked lender in Maryland - 646 contributions

On the surface it looks as if I could get you qualified for a VA loan. However, as the other posters mention, I would need to go over the details with you to be sure. Let me know if you wish to do so. I am alos happy to give you other advice or answer other questions if that is all you desire at this point. Thanks! Email me at robhanson@emortgagegroup.com or call directly at 301-651-7822. Please leave a voicemail if I am unable to pick up and I will return the call immediately

Nov 25th 2013
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