Existing loan and its effect

Financing, Hard Money Lenders, Private Money
1

Hello everyone,

I live in Chicago, USA. My husband and his friend purchased an investment property with a loan amount of $86,000. My husband is a primary borrower and his friend is a co borrower. My husband and I are planning to buy our own residential house. I was wondering, while taking a loan for our new house, how much will be considered my husband’s existing liability? Will it be entire amount i.e. $86,000 or half of it i.e. $43000?

Thanks in advance,
Vandana

2

Unless you can provide proof that your husbands partner is making half the payments your husband will be hit with the full payment. However he can also use the rent to offset the debt.

3

Vandana,

Yes, if your husband is the primary it is his full responsibility. If you have income coming in though, you can show that. How long have you owned the investment property?

Where in Chicago are you? Is the property located in Chicago as well?

I am also from Chicago. (Go Cubs)…