Can I use my land as collateral for someone else’s home loan?

Get Legal Help Today

 Secured with SHA-256 Encryption

Can I use my land as collateral for someone else’s home loan?

I obtained 10 acres of land in my name
recently. My long time partner and I
wish to buy a home for this property.
My credit is terrible and his is
perfect. Our income is not an issue. I
made mistakes during my first divorce
and took all the debt with no way to
pay it. Can I use my land for the home
loan in his name or is he required to
be on the deed as well?

Asked on December 27, 2017 under Real Estate Law, Kentucky

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Legally, you can use anything as collateral for any loan IF the lender will accept it. So there is no legal need for him to be on the deed for this land to used as security or collateral; you just need a lender willing to do this. Loans and their terms are voluntary for lenders--you can't force them to lend to you or accept any given collateral, but can just offer to them and see if they are interested.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption