Mortgage Help

yagyu

Hi i have been trying to sell my house for a year to clear debts and house that is mortgaged.An interested buyer asked me if i can transfer the mortgage on his name and the rest he give me cash. Can it be done? or does he have to pay off and then he will have his name on deed.

opinions4u

Sounds crooked to me.

The buyer needs to apply for his own mortgage.

yagyu

Should have mentioned sorry its a family member ..
My Bad

bigadaj

You can't transfer a mortgage like that, the buyer would have to apply for their own.

yagyu

so basically he has to buy it out or apply for mortgage to purchase the house. cant transfer?

Yorkie1

Correct; the mortgage is in your name and will need to be paid back before the lender will permit the property to be transferred to your family member.

As there is a mortgage in force at present, you will have to have a conveyancer to enable the funds to be repaid to the lender. I would expect them to do the proper due diligence checks on the source of the cash from your family member, to prevent any accusations of money laundering.

Your family member will either need full cash funds to buy the property at the full sale price you agree with him, or to take out a mortgage of his own to make up the difference between his cash sum and the sale price.