Must Be On Title to Be On Loan; Must Refi to Get “Off” Loan

We sometimes have borrowers who want to be “on the loan,” but not “on title” (for tax reasons usually). This is impossible, however, as lenders require all borrowers qualifying for a loan to also be on title.

Conversely, we often have borrowers who want to be on title, but not on the loan, and that, of course, is allowed. Such buyers are referred to as “title only” buyers.

Finally, once a borrower is attached to or responsible for a loan, he or she will remain responsible until that loan is paid off (usually with a refinance). Borrowers often mistakenly believe that they can simply deed off the title and no longer be responsible for the corresponding mortgage.

Borrowers remain responsible for mortgages they sign for whether they remain on the title or not.

Jay Voorhees
Founder/Broker | JVM Lending
(855) 855-4491 | DRE# 01524255, NMLS# 335646