OK to have family member buy a house and later transfer to me once my house sells?

**jaytee** · 12-02-2010, 06:30 AM

We have found our dream home. Problem is, we need to sell ours first to afford it. We don't want to take the chance of losing it with a contingency offer. If my parents bought the house, how difficult is it to transfer to us once ours sells? I'm guessing the deed isn't a problem but the financing would be. FYI, it's a big time fixer upper...can't imagine it qualifying for a conventional loan...we are looking at 203k loans for the improvements. I'm thinking maybe once the improvements were made, it could be refinanced and deeded to us, if possible.

**Greg** · 12-03-2010, 05:45 AM

The only concern about the double transfer is the double closing costs. Legally, there is nothing getting in your way.

The 203k will lend you enough money to buy the house from your parents and extra money to fix it up.

Go for it.

**JLNorthOC** · 12-04-2010, 08:43 AM

It will not be a problem to transfer the deed however, the lender will probably not let your parents off the loan. The loan would probably need to be paid off.

**arenee** · 12-04-2010, 03:27 PM

yeah i don't see the lender taking your parents off the loan unless you qualify in your own right and your loan will pay off their loan. otherwise no legal issues should arise. good luck.