how long can we refinance after being added to deed??

[tarajean118]

What is the name of your state? PA

Hi, I will be placed on my grandmothers deed as co-owner with rights of survivior ship. The plan is essentially for me to buy out half of the property by taking over her current mortgage (24000) giving her 20,000 and taking additional 20,000 to fix the house up (ie, new carpets, doors, kitchen, and senior accomdations for the first floor (bathroom and make a bedroom.) I would have preferred to buy the property flat out from her but that matter got too complicated.


I will assume responsibility for all these expenses and would like to do so asap but how long do i have to wait before we can refinance? If a lender does a search and I am not on record yet will they accept the fact that it is in the process of being recorded, just that county goverment can take up to two months to actually return the documents to me????


IT wouldnt be so bad but the house is in such turmoil and I have a young child and I don't want her living in urine smelled environment (which is why we desperately need to get new carpets, floors and new bathroom materials, but I also can't let grandma continue to live this way any longer) Any input would ease my worrisome little mental mind. thank you.

[Rhubarb297]

Originally Posted by tarajean118

What is the name of your state? PA

Hi, I will be placed on my grandmothers deed as co-owner with rights of survivior ship. The plan is essentially for me to buy out half of the property by taking over her current mortgage (24000) giving her 20,000 and taking additional 20,000 to fix the house up (ie, new carpets, doors, kitchen, and senior accomdations for the first floor (bathroom and make a bedroom.) I would have preferred to buy the property flat out from her but that matter got too complicated.


I will assume responsibility for all these expenses and would like to do so asap but how long do i have to wait before we can refinance? If a lender does a search and I am not on record yet will they accept the fact that it is in the process of being recorded, just that county goverment can take up to two months to actually return the documents to me????


IT wouldnt be so bad but the house is in such turmoil and I have a young child and I don't want her living in urine smelled environment (which is why we desperately need to get new carpets, floors and new bathroom materials, but I also can't let grandma continue to live this way any longer) Any input would ease my worrisome little mental mind. thank you.

I'm not sure why buying it outright would be more complicated, but okay. (Maybe buying it and giving her a life estate?) All the mortgage company is going to worry about is whether the title company will give them title insurance to protect them. Once they have their insurance, it will be on the head of the title company if you're not actually in title.

When you go to record the deed you should get some type of confirmation that you did so. That might be enough for the title company...they know better than anyone the situation with counties backed up on recording deeds. (They're two months behind in recording deeds? They need to elect a new clerk/recorder.)

Are you officially assuming the mortgage? I assume you're not officially assuming it...you're probably just paying the mortgage payments for her per your agreement. I assume you won't do that too long. The grandmother will be getting the tax break and you'll be paying for it.

I'd almost be inclined to spend a few bucks to sit down with an accountant or a real estate lawyer. I'm not sure you're handling it in the best way. There possibly could be tax ramifications. I don't believe you will receive a stepped up basis, but since that will be your residence that may be okay in terms of taxes. I suspect though there are other issues though I can't think of them right now.

Originally Posted by Rhubarb297

They're two months behind in recording deeds? They need to elect a new clerk/recorder.

I wish this were not true, but, alas, there are many jurisdictions where the recorder is behind two months.

[tarajean118]

Thank you for respoding, I actually did meet with an attorney today and He is going to handle the transaction for us, it wasnt' as expensive as i thought it would be 225 for his fees, the recording fees and the township fee (yes the township gets his hands in it too!!!!!, but as far as tax implacations, since we are grandparent, to grandchild it is exempt from the realtor transfer tax, the gift tax will be exempt too, and he said as long as the lender has been made aware (i imaganine a copy of the deed with it's stamp) it shouldn't be a problem. I do not currently live with my grandmother yet, but I will be paying the entire mortgage even though we both will be on it. Thank you again