I want to do a “credit partner” deal with someone. Their concern is that after the deal closes the property will be in their name. Is there anyway I can have the property transfered out of their name and therefore off of their credit. I was thinking I should put the property into an LLC, established between me and the partner. What is the best way to go about this. Thank you in advance for any help.
As a second question, if I have a portfolio of rental properties that already with positive cash flow, where can I post it on this site or is that even allowed. If not, what sites can I post it on. Thank you again for the help.
The loan is in their name until it is paid off. You can get their name off the deed but not off the loan. If it was that easy to get someone’s name off a loan everyone in foreclosure would do it.
Thank you for the reply. So let’s say that I put my partners name and my name on the loan. They would use my partners scores and information for the loan. When it comes to paying the payments on the property I would write checks for the property from an account with my name on it or company name. So when my partners DTI comes into question they would be able to present cancelled checks showing that they do not make those payments. Most lenders will except three checks and find that sufficient enough to take that payment off of the DTI. Or we could just show that the property is rented, if we choose to rent it, or we could just sell it and not worry about this at all. Am I right in theses assumptions. Any comments about doing it this way.
As far as I understand if it’s on his report it counts towards his DTI. I could be wrong though. I’ll let someone else that has more knowledge on this chime in.
I have two car payments and student loans worked into my DTI. I worked with lenders who took one car out and the students loans out after I presented them with three canceled checks from the people who where paying them. These were actual checks and they were being paid by someone else. Therefore, my DTI was lowered with the presentation of this informtion, and in some cases stopped the deal from being rejected.
Mcwagner, thanks for the suggestion. This sound like what I will end up doing. Rich, sorry about the post, I figured it would be deleted if it was inappropriate. Thanks to all for the help. This continues to be a very valuable site.