What is the name of your state (only U.S. law)? Arizona
We are refinancing our current mortgage and a family member will be holding our new mortgage. We are completing a Note and recording a Deed of Trust for the amount of the new mortgage. We are worried about the possible tax implications and how to pay off the existing mortgage. Can the family member simply send us the check for the payoff then we submit a check to the bank for pay off, should we have the check sent directly to the mortgage holder for payoff or do we need to get a settlement attorney involved to put the funds in escrow then have them payoff the mortgage?
Thank you for your help
We are refinancing our current mortgage and a family member will be holding our new mortgage. We are completing a Note and recording a Deed of Trust for the amount of the new mortgage. We are worried about the possible tax implications and how to pay off the existing mortgage. Can the family member simply send us the check for the payoff then we submit a check to the bank for pay off, should we have the check sent directly to the mortgage holder for payoff or do we need to get a settlement attorney involved to put the funds in escrow then have them payoff the mortgage?
Thank you for your help