House/Refinance

[ladyluck193]

What is the name of your state? MI

My cousin has found herself in a bit of a fix:
"Cindy" bought a home several years ago on a L.C. @9.5%. Through a nasty divorce, her credit was ruined and no one would touch her to refinance. Last year a lifelong friend offered to help her. The deal was if she'd assign him a share of the house, he'd get the loan which they did. At the time the loan was for ten years, which increased the payment considerably. He assured her that he'd help her with the payments until they could get a better deal. He has continually promised to rewrite the loan for a longer period, but just hasn't gotten around to it. Fifthteen months had passed and he still didn't do it. This month they got into it over the subject, and he told her point blank that he wasn't going to refinance, that he liked the fact that each month he had to put out what she couldn't come up with, so she'd end up not only owing the bank, but him too. She's devasted, since the bottom line for her was independence. I have no idea what to tell her. Is there a line of action she can take? There's an assignment to her minor daughter on the house in the amount of $10,000.

 

[HomeGuru]

What is the name of your state? MI

My cousin has found herself in a bit of a fix:
"Cindy" bought a home several years ago on a L.C. @9.5%. Through a nasty divorce, her credit was ruined and no one would touch her to refinance. Last year a lifelong friend offered to help her. The deal was if she'd assign him a share of the house, he'd get the loan which they did. At the time the loan was for ten years, which increased the payment considerably. He assured her that he'd help her with the payments until they could get a better deal. He has continually promised to rewrite the loan for a longer period, but just hasn't gotten around to it. Fifthteen months had passed and he still didn't do it. This month they got into it over the subject, and he told her point blank that he wasn't going to refinance, that he liked the fact that each month he had to put out what she couldn't come up with, so she'd end up not only owing the bank, but him too. She's devasted, since the bottom line for her was independence. I have no idea what to tell her. Is there a line of action she can take? There's an assignment to her minor daughter on the house in the amount of $10,000.

**A: simple, tell her to hire the atorney that she should have hired before doing the deal with this lifelong friendly con-artist.

 

[ladyluck193]

House/Refiance

Thanks for the reply HomeGuru...yea, I'm feeling the "con" too, and it just makes me sick. This is an older gal with not much income. What action would an attorney take in a situation like this? She needs to know what to expect.

 

[nextwife]

If she was having so much difficulty covering the cost, why didn't she get a roomate to help offest it?

I owned a condo,, and the first three years, I had a young, engaged teacher whose fiance was overseas in the service as my roommate. She was very responsible, and spent many weekends out of town visiting her family two hours away. It was great, I hardly saw her, and I paid down my mortgage more quickly.

 

[HomeGuru]

Re: House/Refiance

Thanks for the reply HomeGuru...yea, I'm feeling the "con" too, and it just makes me sick. This is an older gal with not much income. What action would an attorney take in a situation like this? She needs to know what to expect.

**A: Hard to say without doing a total review of all the pertinent contract documents. That is why she needs an attorney.

 

[ladyluck193]

House/Refiance

I've reviewed all that she has, which isn't much...she has an assignment to the con, and a copy of the loan. She also has a will that states that she will inherit his intrest in the home upon his death. That's it.

 

[nextwife]

" She also has a will that states that she will inherit his intrest in the home upon his death. That's it."

Huh? How can she will his interest to herself? And if it's his will, he can change that anytime he wants.

 

[HomeGuru]

Re: Re: House/Refiance

I repeat.

**A: Hard to say without doing a total review of all the pertinent contract documents. That is why she needs an attorney.

 

[ladyluck193]

House/Refiance

Well obviously in the event of HIS death (I didn't think that was too far of a leap...) she will inherit His interest. Further, yes we are all aware that he can change his will without notice. However, since this was part of the orginal agreement, changing it would become an issue. Anyhow, thanks, she has an appointment next week with a pretty good mouthpiece.

 

[HomeGuru]

Ok and good luck.