Bad debt and a house mortgage?

Question

me and my partner are plannign to move into our own place early next year. he has a clean record and i have serious debt (which he does not know about) i owe about $4000. is there a way that when we apply for one that they will not check my credit history and only check his?? As he will be the one apying for the motgage as i dont work.... im stressing over this as i will not be able to pay of my debt in time. please help

Answer 1

The only way to do that is if the mortgage is solely in his name.  You ought to try a little honesty first.

Answer 2

If the property is going to be in joint names, most lenders will only lend where "all owners are borrowers and all borrowers are owners". The lender will therefore want to check out both your credit ratings. If you can come to an arrangement with your lender to pay off the debt, AND stick to the arrangement for at least six months, a lot of the lenders will not penalise you because of your credit rating. The debt will have an effect on how much you can borrow. Use a Finance Broker, as they have access to as many as 20 or so different lenders with about 1200 or more different products (loans).

Answer 3

everyone has good advice but I have a question for you... you state that he/she is a "partner"... typically in business you are giving up 4 things...cash? labor/time? credit? experience?... now... you said you do not work, have bad credit, and your are asking the question... soooo either he/she is not a business partner but a partner as a loved one?

If thats is the case... then I would highly recommend to go clean and tell him/her... NOW, you can still purchase that home... as long as your "partner" has strong enough fico, little down payment (lending practices has tighted up), and work history...  if you want to have "ownership" or "part ownership" you still can... AFTER escrow closes and deal is done... have your "partner" add you as an owner... so the loan is in your partner and you have 2 owners on title....

Answer 4

Lisa.....I would be honest with him and tell him....Signing on to a mortgage and if he thinks that you are going into this as a joint venture and he finds out that you can't...not a good move as far as having him trust you.  Not saying this to be mean or anything, but...maybe he'll help you get out of debt, or give you some ideas to help you out. Most ALL mortgage companies check credit histories when doing a mortgage loan, unless you are buying the place in his name only. If you are not working, they may not approve in both your names anyways, they do look at both incomes. Hope this helped and good luck to you both!

Yes...if you get the mortgage in just his name they will not run your credit, but you aren't working so they probably wouldn't use you anyway, you have no income, meaning you have no way of agreeing to make a payment. The only way you could put your name on it is to re-finance the loan after you clear up your debt. Talk to a mortgage loan specialist, they will be able to give you more information.

Answer 5

they wouldn't check your credit b/c your not on the loan and also you don't need to tell him unless you know he wouldn't be upset about it. just pay if off by getting a job.

Answer 6

There are two pieces to a mortgage loan.  The note, which is the financial responsibility to repay the loan and the mortgage or deed of trust itself, which is the collateral used to pledge the property for the loan.  Whomever applies for the loan signs the notes, whomever is on the deed signs the mortgage or deed of trust (another word for mortgage, state specific).  Now the deed, depending on state can have maritial rights, but this does not apply to the note, so as long as you do not apply, your credit will not be run