My mother's significant other recently died. They owned a townhouse where only his name was in the mortgage but he and my mother were both in the deed. After he passed away, a few friends that work in banking advised my mom to re-finance so she can be in the mortgage. She went through the process of refinancing and she can't qualify because of her debt-to-income ratio. She recently asked me to co-sign and will add me to the deed so she can qualify for her refinance. The condo is currently worth $225k and it still owes around $145k so it has quite a bit of equity. I am not concerned about my mom making payments so that's not an issue.
Now my question. I already have 1 other investment property, in addition, to my current home. I am planning to keep investing in real estate in the near future and I actually have the cash to invest in the next one. I am just waiting for the right deal. I definitely want to help my mom refinancing her home. I was wondering how's having my mom's property on my record will affect my ability to keep investing in the near and long term future. I know co-signing the property for my mother will affect my debt-to-income ratio. Is there any other potential negative (or positive?) effect? Thank you so much!
Submitted September 25, 2019 at 07:26PM by delioj https://ift.tt/2l9kB9G
