Buying or Selling a Home/Sell my home

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Expert: - 5/14/2007


Question
In Feb. of this year I refinanced my manufactured home with 17 acres into my name only because my husband and I separated.  I got an FHA loan with 7.5% interest for 30 years.  Total owed is $70,050.  My father has recently become ill and within probably the next year I will need to sell my home and either purchase another or move in with him.  I am now spending about 30% of my time at his home.  I have a nephew who is interested in my home if I decide to sell.  My question is can he assume my FHA loan but for $85000 instead so that I will be able to purchase something else, and if so, how would I do that?  I don't want to "give" my property away but don't want to wait 6 mth to a year to sell it either.  I know the FHA loan is still my responsibility unless I get them to release my name.  My nephew does not have perfect credit and their income is between $22000 and $25000 yearly.  They have little or none for a downpayment but I cannot owner finance either because I will not get any money up front and I will need it.  My home appraised for $85000 or $87000 when I did the refinancing.  Thanks for any help.

Answer
Hi Sandra,

Wish I had better news for you. Unfortunately FHA loans are only assumable WITH qualifying at this time. If you try to sell this property to your nephew without him qualifying, the lender can call the entire note immediately due and payable. If your nephew does not have money for a down payment and cannot qualify for a 100% loan, there is no way you can legally get money up front. Your only options are to rent the home to him until he can qualify, or sell it to someone that can.

Good luck!  

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Diann Tonnesen

Expertise

I have over 25 years of experience in real estate in Las Vegas. I can answer almost any specific question about buying or selling homes, condos, high rise properties or land in the State of Nevada as well as general real estate questions that pertain to the industry as a whole. I can also answer questions related to financing on FHA and VA loans, conventional loans, interest only loans, stated income loans, and hard money lending. You can also go to my site at http://www.greatlasvegashomes.com which has lots of information on it as well.

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With my husband I have been helping families call Las Vegas home for over 23 years and I still love it! We developed a strong niche in the Internet industry and had to start a team of agents to respond to the large volume of calls we were getting. Currently we have 18 full time agents, a sales manager, two leads managers and two transaction coordinators assisting us. Last year we helped over 280 families and investors find property in Las Vegas.

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Las Vegas Board of Realtors and the National Association of Realtors

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college journalism major

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Top agent in the state of Nevada for sales multiple years when working for Century 21 and last year one of the top 10 agents in the country with Prudential.

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Just too many great clients to mention here, but I can certainly provide a long list of references on request. Or check out our web sites at:

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