co-signing for a house?
Me & my husband want to buy our first home. I just got a part time job and my husband has a full time job. With my husband's job alone we can afford a 150,000 loan. I was wondering if my parents would be able to co sign so we can get a house at a faster rate. My parents have great credit the only thing is that they already own 3 houses. Will the bank allow the co signing to take place or not?
- Anonymous1 decade agoFavorite Answer
See if this helps you,
- roderick_youngLv 71 decade ago
I would suggest living within your means, that is, get the loan without help from your parents. If you get a bigger loan on account of their co-signing, what would happen if you lost your job? For that matter, what would happen if you decided you wanted to quit your job for some reason (having kids would be one example)? If your loan is bigger than you can afford with one income, then you will both be tied to your jobs for the duration of the mortgage.
I don't know if the 150,000 loan would get you anything in your area. In some places you could get an actual house for that (not the nicest one, of course), in other places, you could at least get a condo for that. That's how most of us start, I think, with a "starter" home, then move up as our financial situation improves. I will say, it's tremendously fulfilling to build a life together with your own resources.
- Anonymous1 decade ago
NEVER, NEVER NEVER co-sign for any one, for any reason, unless you can full pay for what you are co-signing for.
Listen to the bank. If the borrower can't get a loan with a bank, then why should you, the co-signer, take a risk.
If you husband has the income, then why not just apply for the loan with your names.
I'm guessing there is more to the story like bad credit or you want to buy more house then you can afford, etc.
- Anonymous1 decade ago
Yes...likely they will because your parents have established good credit and have assets to back up the co-signing should you and your husband default. It would be best tho if you could stay in a price range you can afford on your own (with your husband), because so many people get in too deep and lose the house, which is heart breaking
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- steelmanLv 44 years ago
definite it somewhat is accessible in some circumstances for a individual no longer residing interior the domicile to co-sign. in the event that they defaulted, as quickly as a subject. could ensue lower back! -No i would not co-sign for the easy reason that they could learn the lesson that domicile possession is a effective element to have and in the event that they did no longer comprehend the possession selection the 1st time. Why could they do it the subsequent time? Aunt is silly to agree. She won't have the ability to get credit in the event that they decrease to rubble and why could they care greater this time? I helped my toddlers purchase their first domicile yet, they had to get the credit and function the ability to make the money. They made 200K while they offered. Made each charge on time and their credit is pristine for getting to understand that significant financial lesson early on. this style of lesson is purely too significant to bend over on. My 2 cents!
- Katie HLv 51 decade ago
Cosigning is a slippery slope.
Buy a home you CAN afford. it is so much more rewarding.
Virtually all finacial experts would advice your parents against such a move. You are asking your parents to make a finacial decision that the mortgage company is not willing to make.
In fact, if their credit is as good as you say... I suspect they will not be willing. It is just too dangerous.
- justafrenLv 41 decade ago
You should never cosign for anyone and you shouldn't ask your parents to do it for you.
Buy a smaller home and move up later.
If anything would go wrong, you are putting your parents in a terrible position and it could be potential for big family problems.
It is better to live on your own and within your means.
- 1 decade ago
they might, but their income is going to be used also, remember we do not know what the future brings and do you want your parents who are getting older to have this load.. if something happens no,, go on your own better on your credit