need to remove co-signer from mortgage?

i live in texas, 15 years ago my dad put small down payment on a house ,and is also a co-signer. i have always paid the mortgage on time and extra money on principal . dad is 85 and would like to be removed from the deed, mainly to simplify things when he passes.i do not intend to sell this house for many years to come. i asked the mortgage company ... they said i would have to file for an assumption(qualified) to remove him and his responsibility as co-signer.. their fees are around 600 dollars for this .. is it not possible to handle this in some other way?? could he state in his will that he wants what ever ownership he had to go to me. does death remove him automatically from deed... if he or i do nothing how will it effect the ownership of my house ...would i have to sell the house to give his "estate" his share cuz he is a co-signer??? he does not want to spend money to resolve this mixed up situation and i am not able and do not want to pay that 600.dollar fee to the mortgage... yikes i am so confused... i appreciate whatever help anyone can provide! cheers

Update:

more info: i see i have the term co-signer --wrong. co borrower may be word. the main reason to have his name off the deed is due to his age .. i am un-able to come up with the six hundred dollars or so due to ,, i am dis-abled .. so my work and income is very limited. his main concern is ,, how will this effect legal matters after he passes... maybe i have asked the wrong question.... possibly the question needs to be...... dad is on the deed, his will is such that ,, his estate will be divided between his children.. how will this effect my mortgage,, i.e. will my sister and brother then become part owners in this property??? maybe this info will fill in the gaps and help ya'll to understand where i am coming from.... again thanks for your input.

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  • 1 decade ago
    Best Answer

    The other poster is wrong...you can't just remove your name from a mortgage anytime you want to....you can't do it without the bank's permission and full refinancing is commonly required.

    There is no such thing as a co-signer on a mortgage; you MUST have their signature and permission to do so...HOWEVER....it sounds like because of his age, they are willing to do a modification to the note...it STILL REQUIRES his signature.

    It's not a "mixed up" situation...you couldn't qualify for the loan on your own when you bought or his name would not have been on the house to start with.

    Either pay $600 or a few thousand in closing costs and attorney fees.

    What is the problem that YOU don't have the $600 to pay it? Why should your father pay money to have his name removed? Isn't it you that is wanting this done in the first place?

  • Anonymous
    5 years ago

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    RE Need to remove co-signer from mortgage?

    i live in texas, 15 years ago my dad put small down payment on a house ,and is also a co-signer. i have always paid the mortgage on time and extra money on principal . dad is 85 and would like to be removed from the deed, mainly to simplify things when he passes.i do not intend to sell this house for many years to come. i asked the mortgage company ... they said i would have to file for an assumption(qualified) to remove him and his responsibility as co-signer.. their fees are around 600 dollars for this .. is it not possible to handle this in some other way?? could he state in his will that he wants what ever ownership he had to go to me. does death remove him automatically from deed... if he or i do nothing how will it effect the ownership of my house ...would i have to sell the house to give his "estate" his share cuz he is a co-signer??? he does not want to spend money to resolve this mixed up situation and i am not able and do not want to pay that 600.dollar fee to the mortgage... yikes i am so confused... i appreciate whatever help anyone can provide! cheers

  • Hugh
    Lv 6
    3 years ago

    For Finance and credit solutions I visit this site where you can find all the solutions. http://personalfinancesolution.info/index.html?src...

    RE :Need to remove co-signer from mortgage?

    i live in texas, 15 years ago my dad put small down payment on a house ,and is also a co-signer. i have always paid the mortgage on time and extra money on principal . dad is 85 and would like to be removed from the deed, mainly to simplify things when he passes.i do not intend to sell this house for many years to come. i asked the mortgage company ... they said i would have to file for an assumption(qualified) to remove him and his responsibility as co-signer.. their fees are around 600 dollars for this .. is it not possible to handle this in some other way?? could he state in his will that he wants what ever ownership he had to go to me. does death remove him automatically from deed... if he or i do nothing how will it effect the ownership of my house ...would i have to sell the house to give his "estate" his share cuz he is a co-signer??? he does not want to spend money to resolve this mixed up situation and i am not able and do not want to pay that 600.dollar fee to the mortgage... yikes i am so confused... i appreciate whatever help anyone can provide! cheers

    Update: more info: i see i have the term co-signer --wrong. co borrower may be word. the main reason to have his name off the deed is due to his age .. i am un-able to come up with the six hundred dollars or so due to ,, i am dis-abled .. so my work and income is very limited. his main concern is ,, how will this effect legal matters after he passes... maybe i have asked the wrong question.... possibly the question needs to be...... dad is on the deed, his will is such that ,, his estate will be divided between his children.. how will this effect my mortgage,, i.e. will my sister and brother then become part owners in this property??? maybe this info will fill in the gaps and help ya'll to understand where i am coming from.... again thanks for your input.

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    Source(s): For Finance and credit solutions I visit this site where you can find all the solutions. http://personalfinancesolution.info/index.html?src...
  • Anonymous
    1 decade ago

    Your father can remove himself from the deed at any time he wants.

    However since your father is a coborrower on the note, if he removes himself from the deed that will trigger what is known as a due on sale caluse.

    The mortgage company will call the mortgage due.

    Because interest rates have dropped significantly, I recommend that you talk to your Credit Union or the Bank where you have your checking and savings accounts about you refinancing your mortgage in your name.

    That would remove your father from responsibility on your current mortgage and would probably get you a much lower interest rate than you have right now.

    To give you an idea of what the current interst rates are, I recently refinanced the mortgage on my residence.

    I closed my loan with a 30 year fixed rate loan with an APR of 4.54%!!!!!

    Again that is the rate that I actually closed on and got, not the rate that some goofy mortgage broker advertised but had no intention of delivering!!!

    That is the kind of loan that you can get if you have good credit and if you have a good long time relationship with your bank or credit union.

    Now I realize that the rate that I got is close to the wholesale rate.

    The reason that I got a rate that low is because I have an excellent long time relatonship with the bank where I do business.

    However youu can still get a rate much better than the rate that you have right nowif you refinance that loan with a lender that you have a good relationship with.

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  • Anonymous
    5 years ago

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    3 years ago

    I'm interested to know this too

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    3 years ago

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