Gifting a house with a mortgage?

Angelia
my friend and her husband are living in her seperated parents house and have been for 3 years and paying the parents mortgage and all the other bills of the house. They would like to get it in there name and they have thought about getting her parents to gift the house with the mortgage. can this be done and how do you do it? can they assume the mortgage and get the parents name of the loan and house without refinancing?

Milton
First, she needs to get her parents to agree to this. Whatever the equity in the house is now (less the principal from three years MAYBE) is probably what the "gift" portion is.Few mortgages are assumable, so it's unlikely they can do that. However, as there is a current mortgage in place being paid regularly, they might be able to get that company to make a fairly decent, low-cost offer of a mortgage to them.Changing title to the house is essential of course.No curses to anyone here, but how the property is titled can be important. How solid is your friend's marriage? If there is any real potential for divorce, perhaps it needs to be "her" house--if they could divorce soon and it's "their" house, it's a marital asset.You won't need a real estate agent in this case and because of potential pitfalls, it would make sense to use a real estate attorney to get the transfer done. It's doable, but you don't want any errors with real estate.

Natisha
Very few mortgages -- mostly old ones are freely assumable. If not, and if the mortgagee agrees, yes. If not, no.

Shella
they can purchase the home (will have to provide proof they have been making the payments) and then the parents can give a gift of equity