Know the steps to
transfer a mortgaged house, so you know if it is convenient for you or not to
do so and what could be some of the alternatives in case you decide not to
transfer the property
"Can you transfer
a mortgaged property?" and "What are the requirements to transfer a
house?" Transferring a home means transferring to another person the
rights to it, and where appropriate, the maintenance obligations and
outstanding debts, including the mortgage loan. The transfer also implies a
negotiation, since the first owner will seek in exchange a monetary amount that
compensates the investment made so far.
There are multiple
factors why people choose to carry out this type of transaction. Either because
they are unable to continue paying the loan or because they simply want to get
rid of the property based on other criteria, such as change of residence or
real estate investments.
The transfer of a home
is a completely legal procedure in Mexico. However, it must be taken into
account that a different process is carried out in each institution or
financial entity.
Can an Infonavit mortgaged property
be transferred?
In the case of
Infonavit, for example, although it allows the transfer of the debt, the institute
does not formally recognize the change of owner, until the payment is completed
and the deeds are modified. Therefore, even if another person takes over the
mortgage loan, this institution recognizes the original beneficiary as the
legitimate owner of the property.
Similarly, if for any
reason the new owner stops paying, it is up to the previous beneficiary to pay
off the entire debt on the home.
Now, if you are
already convinced, the requirements to transfer a mortgage to
another person and the steps that must be carried out in
most financial institutions are very easy to follow and are listed below:
Steps to transfer a house
●
choose a debtor
●
Wait for a response from the institution that
granted the credit
●
Go to the bank to make the change
●
Find a notary public to legalize the
transaction
● Deliver the home to
the new debtor
Choose a debtor
The first step in
transferring a home is choosing someone with a good credit history. Choosing a
debtor who is responsible is of great importance, so it is important that you
investigate said person and their behavior regarding their debts, to avoid any
type of real estate fraud.
Likewise, it is
important that you make sure that it is not in the credit bureau and that it
meets all the requirements of the financial institution for the mortgage loan
to be approved. Otherwise, you will have to choose another debtor.
Wait for the response from the
institution that granted the credit
After choosing the
person to whom the home will be transferred, the next thing to do is contact
the institution that granted the credit to notify you that you want to make a
transfer.
Immediately
afterwards, before carrying out any type of procedure, you must wait for the
entity's response to this transaction to, now, show all the required
documentation and look for a notary public to regulate the entire procedure.
Likewise, the
institution will proceed to investigate the debtor, to verify that he meets the
minimum requirements for a mortgaged property to be transferred, along with the
rights and the debt.
Go to the bank to make the change
Another of the steps
to transfer a house is that, once this transaction is authorized, both the
original beneficiary and the new debtor appear at the bank's facilities to show
the required documentation.
Within the
documentation, the debtor substitution request must be submitted, as well as
current and official identifications, birth certificates, all documents that
have to do with the mortgage loan and proof that both parties are entitled.
Find a notary public to legalize the
transaction
A mortgaged property
can be transferred as long as the process is done legally, with a notary public
following up on the process. It is important to emphasize that consultations
with notaries are carried out free of charge and they only charge at the time
the exclusive contract with them is made.
A notary public will
be in charge of avoiding fraud, carrying out all legal procedures and attesting
that the transfer is made under all the terms of the law in Mexico. Also, you
can go to him at any time if any situation arises, even years after the
transfer.
Deliver the home to the new debtor
Once the steps have been followed
and the property is ready to be transferred, both the original owner and the
new owner will be granted the listing of the house.
In this way, the new creditor will be in charge of paying off the mortgage, along with an extra amount, if the home had some kind of capital gain, which is usually very frequent.