Loans have become more difficult for many people to receive. The rates are GREAT but the new guidelines mean that you may not qualify to buy the house of your dreams on your own. What about equity sharing?
Imagine this scenario, your child has gone off to college and you want to downsize to manage your costs. You have a friend who also wants to downsize. How can you manage to refinance and perhaps have someone take on part of the commitment.
A client of mine posed this question... have any ideas? I encourage you to share stories, of success and failure when to come to equity sharing.
2 comments:
Interesting topic Cathy!
If we use your example of two friends buying a home together, the best advice you can give them is to begin the equity sharing process with seeing an attorney that specializes in TICs (Tenants-in-Common).
As far as a lender is concerned, they will qualify the two individuals together:
- Use the lowest, middle credit score of both of them
- Use the two incomes
- Use all assets
Therefore, it will be a lot easier for someone to qualify and a GREAT option (if you are comfortable with a TIC) in today's market. If you are not able to qualify, there are also good private lenders (that are all equity based) out there and I can give you good referrals.
Please email me for more specific questions.
My Best,
Sofia Nadjibi
sofia@cleanapproval.com
Hi Cathy,
I agree with Sofia's previous comments. Check out the following website www.andysirkin.com for detailed information on TICs and equity share type issues.
Michael Peck
Guarantee Mortgage
mjpeck@gmwest.com
Post a Comment