[Diego Mamani]

[quote=XBoxBoy]I’ve known of too many cases where “family help” ended up being “family involved in my affairs”. Given how low interest rates are, I’d go with a conventional loan through a bank. I’d be profusely grateful to my inlaws, but I would not tie my finances into theirs in any way.[/quote]
These are excellent points. Of course, only the OP can decide whether this is likely to be an issue in his particular situation. I’d say, if all the documents have been drafted properly, and the loan is not callable, you are generally immune from family interference: as long as you pay your P&I on time every month, you don’t have to allow anyone’s involvement in your own affairs.

[Diego Mamani]

[quote=XBoxBoy]I’ve known of too many cases where “family help” ended up being “family involved in my affairs”. Given how low interest rates are, I’d go with a conventional loan through a bank. I’d be profusely grateful to my inlaws, but I would not tie my finances into theirs in any way.[/quote]
These are excellent points. Of course, only the OP can decide whether this is likely to be an issue in his particular situation. I’d say, if all the documents have been drafted properly, and the loan is not callable, you are generally immune from family interference: as long as you pay your P&I on time every month, you don’t have to allow anyone’s involvement in your own affairs.

[Diego Mamani]

[quote=XBoxBoy]I’ve known of too many cases where “family help” ended up being “family involved in my affairs”. Given how low interest rates are, I’d go with a conventional loan through a bank. I’d be profusely grateful to my inlaws, but I would not tie my finances into theirs in any way.[/quote]
These are excellent points. Of course, only the OP can decide whether this is likely to be an issue in his particular situation. I’d say, if all the documents have been drafted properly, and the loan is not callable, you are generally immune from family interference: as long as you pay your P&I on time every month, you don’t have to allow anyone’s involvement in your own affairs.

[Diego Mamani]

[quote=XBoxBoy]I’ve known of too many cases where “family help” ended up being “family involved in my affairs”. Given how low interest rates are, I’d go with a conventional loan through a bank. I’d be profusely grateful to my inlaws, but I would not tie my finances into theirs in any way.[/quote]
These are excellent points. Of course, only the OP can decide whether this is likely to be an issue in his particular situation. I’d say, if all the documents have been drafted properly, and the loan is not callable, you are generally immune from family interference: as long as you pay your P&I on time every month, you don’t have to allow anyone’s involvement in your own affairs.

[Diego Mamani]

[quote=XBoxBoy]I’ve known of too many cases where “family help” ended up being “family involved in my affairs”. Given how low interest rates are, I’d go with a conventional loan through a bank. I’d be profusely grateful to my inlaws, but I would not tie my finances into theirs in any way.[/quote]
These are excellent points. Of course, only the OP can decide whether this is likely to be an issue in his particular situation. I’d say, if all the documents have been drafted properly, and the loan is not callable, you are generally immune from family interference: as long as you pay your P&I on time every month, you don’t have to allow anyone’s involvement in your own affairs.

[Diego Mamani]

[quote=rent4now]So why do you think it is ideal to have the in-laws carry back the loan?[/quote]
If you go through a bank, you’ll have to put a substantial down payment, have an LTV of 75%-90%, or less, possibly pay PMI, etc. And you have to go through a cumbersome underwriting process: banks currently scrutinize your finances, any movements in your bank accounts, your obligations, etc.

If the in-laws carry the note, you are free to pick any LTV you chose, even 100%, without having to pay PMI, and you won’t have to give your SSN, DOB, DL#, etc., to an unknown bank underwriter. You won’t have much of closing costs either. Just make sure you record the note with the county recorder.

Of course, I’m assuming that your in-laws want to be generous. However, nothing prevents them from demanding a market or near-market price, 20% down, market interest rate, or even making the note callable.

I’m also assuming that you have excellent relations with your in-laws.

[Diego Mamani]

[quote=rent4now]So why do you think it is ideal to have the in-laws carry back the loan?[/quote]
If you go through a bank, you’ll have to put a substantial down payment, have an LTV of 75%-90%, or less, possibly pay PMI, etc. And you have to go through a cumbersome underwriting process: banks currently scrutinize your finances, any movements in your bank accounts, your obligations, etc.

If the in-laws carry the note, you are free to pick any LTV you chose, even 100%, without having to pay PMI, and you won’t have to give your SSN, DOB, DL#, etc., to an unknown bank underwriter. You won’t have much of closing costs either. Just make sure you record the note with the county recorder.

Of course, I’m assuming that your in-laws want to be generous. However, nothing prevents them from demanding a market or near-market price, 20% down, market interest rate, or even making the note callable.

I’m also assuming that you have excellent relations with your in-laws.

[Diego Mamani]

[quote=rent4now]So why do you think it is ideal to have the in-laws carry back the loan?[/quote]
If you go through a bank, you’ll have to put a substantial down payment, have an LTV of 75%-90%, or less, possibly pay PMI, etc. And you have to go through a cumbersome underwriting process: banks currently scrutinize your finances, any movements in your bank accounts, your obligations, etc.

If the in-laws carry the note, you are free to pick any LTV you chose, even 100%, without having to pay PMI, and you won’t have to give your SSN, DOB, DL#, etc., to an unknown bank underwriter. You won’t have much of closing costs either. Just make sure you record the note with the county recorder.

Of course, I’m assuming that your in-laws want to be generous. However, nothing prevents them from demanding a market or near-market price, 20% down, market interest rate, or even making the note callable.

I’m also assuming that you have excellent relations with your in-laws.

[Diego Mamani]

[quote=rent4now]So why do you think it is ideal to have the in-laws carry back the loan?[/quote]
If you go through a bank, you’ll have to put a substantial down payment, have an LTV of 75%-90%, or less, possibly pay PMI, etc. And you have to go through a cumbersome underwriting process: banks currently scrutinize your finances, any movements in your bank accounts, your obligations, etc.

If the in-laws carry the note, you are free to pick any LTV you chose, even 100%, without having to pay PMI, and you won’t have to give your SSN, DOB, DL#, etc., to an unknown bank underwriter. You won’t have much of closing costs either. Just make sure you record the note with the county recorder.

Of course, I’m assuming that your in-laws want to be generous. However, nothing prevents them from demanding a market or near-market price, 20% down, market interest rate, or even making the note callable.

I’m also assuming that you have excellent relations with your in-laws.

[Diego Mamani]

[quote=rent4now]So why do you think it is ideal to have the in-laws carry back the loan?[/quote]
If you go through a bank, you’ll have to put a substantial down payment, have an LTV of 75%-90%, or less, possibly pay PMI, etc. And you have to go through a cumbersome underwriting process: banks currently scrutinize your finances, any movements in your bank accounts, your obligations, etc.

If the in-laws carry the note, you are free to pick any LTV you chose, even 100%, without having to pay PMI, and you won’t have to give your SSN, DOB, DL#, etc., to an unknown bank underwriter. You won’t have much of closing costs either. Just make sure you record the note with the county recorder.

Of course, I’m assuming that your in-laws want to be generous. However, nothing prevents them from demanding a market or near-market price, 20% down, market interest rate, or even making the note callable.

I’m also assuming that you have excellent relations with your in-laws.

[Diego Mamani]

Does your spouse have siblings?

There are many, many ways of structuring this. For me, it would be ideal if your in-laws sell the house to you and your spouse for 0 down, with them carrying a note. The sales price, interest rate, and length of the loan could be manipulated so that your monthly payment will be about the same as what you pay now, or the same as what your in-laws get from their current tenants, or something similar.

But if the terms are too generous, your spouse’s siblings won’t be too happy about it.

[Diego Mamani]

Does your spouse have siblings?

There are many, many ways of structuring this. For me, it would be ideal if your in-laws sell the house to you and your spouse for 0 down, with them carrying a note. The sales price, interest rate, and length of the loan could be manipulated so that your monthly payment will be about the same as what you pay now, or the same as what your in-laws get from their current tenants, or something similar.

But if the terms are too generous, your spouse’s siblings won’t be too happy about it.

[Diego Mamani]

Does your spouse have siblings?

There are many, many ways of structuring this. For me, it would be ideal if your in-laws sell the house to you and your spouse for 0 down, with them carrying a note. The sales price, interest rate, and length of the loan could be manipulated so that your monthly payment will be about the same as what you pay now, or the same as what your in-laws get from their current tenants, or something similar.

But if the terms are too generous, your spouse’s siblings won’t be too happy about it.

[Diego Mamani]

Does your spouse have siblings?

There are many, many ways of structuring this. For me, it would be ideal if your in-laws sell the house to you and your spouse for 0 down, with them carrying a note. The sales price, interest rate, and length of the loan could be manipulated so that your monthly payment will be about the same as what you pay now, or the same as what your in-laws get from their current tenants, or something similar.

But if the terms are too generous, your spouse’s siblings won’t be too happy about it.

[Diego Mamani]

Does your spouse have siblings?

There are many, many ways of structuring this. For me, it would be ideal if your in-laws sell the house to you and your spouse for 0 down, with them carrying a note. The sales price, interest rate, and length of the loan could be manipulated so that your monthly payment will be about the same as what you pay now, or the same as what your in-laws get from their current tenants, or something similar.

But if the terms are too generous, your spouse’s siblings won’t be too happy about it.

[Author]

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