JV Partner - Not wanting to be on Mortgage/Title

[Vishal]

Good morning.

I was hoping for some advice from individuals that may have gone through this. I have a JV partner who has the capital for the downpayment but does not want to be on the mortgage or title so essentially he wants to lend me the money and have me on the mortgage or title.

I recently started chance to speak tso am self employed. I did get a chance to speak to some brokers who mentioned that I would not qualify for a mortgage at this point as I do not have any income coming in.

I wanted to see if anyone has any advice on this situation.

Thank you.

 

[Thomas Beyer]

option 1: get a job and make some income .. more here:
5 ways to make money http://myreinspace.com/public_forums/General_Discussion/61-3347-5_ways_to_make_money.html

option 2: get a different JV partner who co-qualifies with you .. likely for a higher share than 50% !

option 3: buy a property in Alberta and assume a mortgage without qualification !

option 4: buy a property with sufficient cash-flow that allows your personal networth to be less of an issue .. and you may then be restricted to a lower LTV like 65% (much like foreigners owning RE in Canada)

You must must have a strong mortgage broker on your team who can advise you in depth here !!

 

[PeterKinchMortgageTeam]

QUOTE (Vishal @ May 7 2009, 04:51 AM) Good morning.

I was hoping for some advice from individuals that may have gone through this. I have a JV partner who has the capital for the downpayment but does not want to be on the mortgage or title so essentially he wants to lend me the money and have me on the mortgage or title.

I recently started chance to speak tso am self employed. I did get a chance to speak to some brokers who mentioned that I would not qualify for a mortgage at this point as I do not have any income coming in.

I wanted to see if anyone has any advice on this situation.

Thank you.


There are not alot of non income qualifying programs available for rental properties so if you can`t qualify on income - you will need your JV to qualify with you, which means that he will have to be on the mortgage - though not neccessarily title.

He can co sign for the mortgage alone and not go on title, though we don`t typically see that arrangment as it leaves him on the hook for the mortgage, but with no asset.

 

[Anonymous]

QUOTE (Vishal @ May 7 2009, 07:51 AM) Good morning.

I was hoping for some advice from individuals that may have gone through this. I have a JV partner who has the capital for the downpayment but does not want to be on the mortgage or title so essentially he wants to lend me the money and have me on the mortgage or title.

I recently started chance to speak tso am self employed. I did get a chance to speak to some brokers who mentioned that I would not qualify for a mortgage at this point as I do not have any income coming in.

I wanted to see if anyone has any advice on this situation.

Thank you.

Why does he not want to be on title? I find many of our clients want to be on title to help protect their investment. As Peter mentioned, it provides greater security for the investor.