DIYbanter - View Single Post - transfering property deed

Rick Blaine

wrote:

OK thanks for the info. Another scenario: Let's say they remove their
name from the title, but not the mortgage (good friend). Will the bank
make me re-qualify in that case?

Only if you want to refinance. The other party removing their name from the
title in no way removes their obligation on the mortgage.

If the friend agreed to keep the name on the mortgage (but not have to
make any payments), will that be a disadvantage for them if they go to
qualify for a new loan on their own? (assuming the existing loan stays
in perfect standing)

Yep. Payment or not, they are still obligated and the debt will be counted
against them.

Is their a difference between a "co-signer" and what my friend
currently is on our mortgage? I am the first name listed on it. Not
sure if there is any distinction there, or if it is pertinent to the
above scenario?

There's no difference. You are both obligated for the loan regardless of who
actually makes the payments.