Zillow Advice: Mortgage - If I cosign a mortgage then will it effect my future plan to buy a home for myself? http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Zillow Advice | Zillow Real Estate Wetdawgs told it like it ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Wetdawgs told it like it is.........millions of people lost their homes over the last 4- 5 yrs when they lost their job(s) or other unplanned financial difficulties, and if this happened to your relative the mortgage would be your responsibility. If they need you to co sign it means they can't afford the home on their own. That is best reason for you not to enable them. You would have to qualify for that and any&nbsp; mortgage payment on a future purchase, and would not be considered a first time homebuyer in the future.&nbsp; JUST SAY NO! Sat, 31 Aug 2013 04:25:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T04:25:00Z Of course co-signing will ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Of course co-signing will affect your ability to get a mortgage.&nbsp;&nbsp; The co-signed mortgage is your debt as well as the relative who is asking you for this favor.&nbsp; The relative skips paying, ooops, your credit report will be ugly.&nbsp; A loan officer evaluates your debt, and your debt to income ratio will be higher than you expected. <br/><br/>Just say no.&nbsp;&nbsp; That's right.&nbsp; No.&nbsp; The relative apparently doesn't have the income to afford what s/he wants to buy and wants to put the weight on you to make up the difference.&nbsp; &nbsp; Ouch!!! This may be hanging over your shoulders for a very very long time.&nbsp;&nbsp; They skip a payment, surprise!&nbsp;&nbsp; <br/><br/> Sat, 31 Aug 2013 02:03:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T02:03:00Z When you co-sign, you are ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ When you co-sign, you are guaranteeing the loan. You are saying "I will pay the loan payments", and then trusting (hoping?) that others will honor their commitments so that you don't have to pick up their slack.<br/><br/>With that said, as long as you are on the loan as a co-signer, any lender has to consider a scenario where you will need to step in and make these payments.<br/><br/>Personally, I will give a person money before I will co-sign. There are too many risks in co-signing. The biggest is that whatever is preventing the person from getting a loan now, may also prevent them from refinancing. And, even if you get to a point where your relative may be able to refinance and get your name off the loan, it will be "at their timing" and not yours.<br/><br/>So, at a minimum, your near-term plans will be affected...until the relative refi's on their own and gets your name off the loan. Sat, 31 Aug 2013 01:58:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T01:58:00Z Yes, because it affects your ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Yes, because it affects your debt-to-earnings ratio. If the person you have cosigned the note with defaults, the lender is going to look to you to make the payments. Sat, 31 Aug 2013 01:53:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T01:53:00Z No problem. I am not a lender ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ No problem. I am not a lender but they are going to look at this as you own another property. The mortgage payments will be factored into your existing cash flow, for example, and may limit what you are loaned (vs what you may actually be able to afford).<br/><br/>Perchance, are you on another forum right now, too? :)&nbsp;<br/><br/> Sat, 31 Aug 2013 01:42:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T01:42:00Z Can you please elaborate ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Can you please elaborate a little bit? How it might effect me considering they will make their payments timely and I've good credit score with a good yearly income? Thanks in advance.&nbsp; Sat, 31 Aug 2013 01:40:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T01:40:00Z Yes, it will very much affect ... http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ Yes, it will very much affect your ability to buy a home in the future. &nbsp;It will count against you as much as the person you're considering cosigning for. &nbsp;Consider, too, you're liable for this mortgage if they don't make their payments.&nbsp;<br/> Sat, 31 Aug 2013 01:36:00 GMT http://www.zillow.com/advice-thread/If-I-cosign-a-mortgage-then-will-it-effect-my-future-plan-to-buy-a-home-for-myself/509374/ 2013-08-31T01:36:00Z