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Mom and Dad seek way to get off daughter’s real estate title

Mortgage co-signers don't want to claim ownership
Published on Jan 4, 2005

DEAR BOB: Our daughter, age 27, earned her MBA degree last June and has a wonderful high-paying job. Frankly, she earns more than I do. Her mother and I are very proud of her. However, she has virtually zero savings for a down payment on a nice new condo she wants to buy. The mortgage company approved her for a nothing-down mortgage. But the "catch" is dear old mom and dad have to co-sign on the loan. We are willing to do that. However, the lender says we also must take title to the condo with our daughter. We would prefer not to do so for various reasons. Is there any way to get out of being co-owners of the condo if we co-sign on the mortgage? – Henry R. DEAR HENRY: No. For several legal reasons, if the lender has to foreclose due to mortgage default, it prevents possible problems if the co-borrowers on the mortgage are the same names as the co-owners of the property security. Purchase Bob Bruss reports online. Depending on state law where the condo is located, in the event...

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