Expert: John - 5/23/2008

Question
I really need your help for may situation. I helped my friend to get a loan of $150000 for her house last year. She told me she will put my name in the deed. Because she did not have a good credit, and after one year she will take over the loan. The loan is my name alone. she already paid one year and half.

but now when I ask her to refinance to take over the loan. she said refinance will cost money. I urged her many times but she never do that.

My question is that if she can not pay the loan later on, what happens? can I ask lender to sell the house if she do pay? The situation make me very concern now. Can you give a suggestion what can I do?   I would appreciate your help.

Thank you very much for your time


Answer
This why you do not do things like this.

You should have gotten this in writing with her.  I will take it as you did not.

There is no way to force her to refinance.

You own the house.  You can force her out of the house since there is no lease sign.
You can also put the house up for sell with a Realtor.

Maybe one of those treats will force her to refinance.

But you may lose her as a friend.

John