Our Mortgage is too high, Will i be eligible to co-sign with my mom to lower our mortgage with bad credit?
My dad is in process of filing Bankruptcy. He is filing by himself, and his lawyer says my mom won’t get affected. Our Mortgage is going to increase in two months. Since Obama has released this new system on lowering interest rates on mortgage payments will I be allowed to co-sign with my mom and remove my dads name with a credit score of bout 590 and an income of $2500/month? I also do have a terrible debt ratio, but I do pay my bills on time. Our house is worth $630,000 and my mom makes about $3000 – $4000 a month. What do you guys reckon? Do you reckon they’ll lower our interest rates if my dad is in process of filing bankruptcy? Or take him off and have me take over instead?
So if I do a joint, will be able to be approved? On a side note, my mom has really excellent credit.
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Tags: bad debt, cosign, credit, credit score, dad, dads name, debt ratio, eligible, filing bankruptcy, high, interest rates, lawyer, lower, mom, mortgage, mortgage payments, obamaTags: bad debt, cosign, credit, credit score, dad, dads name, debt ratio, eligible, filing bankruptcy, high, interest rates, lawyer, lower, mom, mortgage, mortgage payments, obama
Doubtful as a co-signer unless you can qualify for the entire mortgage on your own, then it would be a joint applicant mortgage, not a co-sign which you can’t afford with a debt ratio like that. $72K a year [combined] is not enough to afford a $630K mortgage, they need to sell the home and look for one around $200k – $250k max. Excellent luck to your folks,
Remember, just because a lending institution can get you a loan or amount on certain terms, that doesn’t mean it’s the best interest for you. The only way they make a commission is to approve a loan, and that’s why people are over maxed right now. A mortgage payment of 35% of your take home pay is the absolute maximum without causing money crisis’s or severe stress.
Your mother will be affected on EVERY account she has jointly with your father…so I sure hope she doesn’t have any.
No, they won’t lower the interest rates due to bankrtupcy, in fact, they won’t touch the loan.
You cannot take him off a loan without refinancing or his signature.
Unless you can AFFORD to pay the ENTIRE mortgage on your own in the event of your mother’s default…DO NOT CO-SIGN.
There is NO SUCH THING as a co-signer…you are a co-borrower, that means you are just as responsible for that payment as she is.
You say the house is worth $630,000 but you don’t say how much is owed on the current loan.Without that info and more there is no way to determine if your thought will work.