Take Over House Payments: How to Assume the Mortgage for a Family Member
Make sure that you keep everything in writing when forming an agreement to take over a relative's mortgage payment. If you are looking to take over house payments from a relative, you need to have all of your ducks in a row. If you can make a deal work, then you can save many costs that would otherwise eat up your budget. Here are the steps to assume the mortgage for a family member.
Home Mortgages: What is a Debt-to-Income Ratio?
Learn what a debt-to-income ratio is and how lenders use it when reviewing your mortgage application. Mortgage lenders use a debt-to-income ratio (DTI) along with other criteria, including assets and credit score, to determine whether you’re a good risk for the loan you’re asking for. This ratio compares your overall monthly debt to your gross monthly income.