Legal Question in Real Estate Law in Pennsylvania

Mortgage vs. Home Equity assuming parents home.

My parents are planning on turning over there home to me. Currently the thought is that they will sell the house to me for $1.00 then I can go and get a home equity loan to pay them, in order to avoid closing costs, taxes, etc.

Is this feasible, or should I just get a mortgage?


Asked on 7/07/09, 9:44 am

1 Answer from Attorneys

Re: Mortgage vs. Home Equity assuming parents home.

If they do not owe anything on the home, that may work for you, but there will be some closing costs associated with any mortgage or home equity loan, they may tell you there are not costs of fees, but that is because they will take it out at the closing. Always question everyone, get everything in writing, because bankers lie almost as much as the illegal crooks...Good luck.

Read more
Answered on 7/07/09, 11:40 am


Related Questions & Answers

More Real Estate and Real Property questions and answers in Pennsylvania