Conference quark::mennotes-v1

I sympathize, but I also see their point.  Child support is indeed an expense,
and your ex could use it as income to support a loan application (but she's
also, supposedly, spending it on the kids.)

Your hypothetical homemaker with no income would not qualify for a loan
without income.

I think what is irritating you is that they can identify child support as
a fixed expense, whereas if you were still married (or had custody), the
expense of providing for the kids is not so easily identified.  Yes, there
is an inequity there.

I found myself that credit unions as of late are being EXTREMELY stingy, and
will jump at any opportunity to deny you a loan.

I'd also point out that your "equity" in the home your ex occupies isn't
something banks/credit unions will be readily willing to loan against,
since they'd have a very hard time collecting should you default.

In hindsight, what you should have done if possible was to have your
ex remortgage and "buy you out" at the time of the divorce, if possible.
"Standard" arrangements such as you made are nothing but trouble.

			Steve

    Ron...
    Similar thing happened to me last year when applying for a loan to
    re-finance our home at DCU.  All went fine until the loan officer
    "discovered" I was making support payments.  Like yourself, I had no
    notion at all  that those expenses were treated as a financial
    liability on the application.  It almost killed the loan.
    
    Like (-1) said, though, I am really surprized that ANY financial
    institution would consider your equity in the house your ex lives in as
    collateral for a loan.
    
    tony

    Don't bother fighting problems like this, just go around them. When
    you apply for your loan at the next bank in line you'll know what not
    to say. I have 4 pieces of property but I wouldn't have any if I
    hadn't kept my mouth shut. Just tell them exactly what they want
    to hear and they'll fill out they're little pieces of paper and
    everyone one will be happy. These people only care about their
    silly little rules not the end result. Just tell them the right things
    and you'll get what you want...

re:3,,
<<These people only care about their silly little rules not the end result.
<<Just tell them the right things and you'll get what you want...

			


			aint that the truth.

    I find that paying child support is a liability, I couldn't use it
    toward my income on a mortgage application, "Because ex-husbands are
    notoriously bad about paying support after the first year"  (Particular
    loan officer for a mortgage company)
    
    Although in my case she was correct, I find it hard to believe that
    they then turn around and tell a support payer that that is considered
    a dept.  It isn't deductable for a support payer, nor is it income to
    the payee for tax purposes so I don't consider it real money.  since
    the banks won't accept my now nonexistant child support payments as
    income for loan puurposes, I damn sure wouldn't mention it as a
    liability.
    
    Meg

I experienced the same thing.  I was in the process of getting a house loan and
when the Long term debts came around to child support - I got bounced in 
exactly the same way.  I found the inequity rediculous and rguing did no good
and got the same hands being tied message.  

It would seem that, to be fair, the banks etc. should factor child support
for all in the same way.  If you have children, couples or not, they count 
towards your LTD.  The current method of only counting real child support $
is unequitable and forces undesirable solutions like .3.    

My 2c

	Stu 

    It's nothing new.  They count child support as a debt of x% of income
    and if total indebtedness exceeds their guidelines of 33 to 40% then
    you don't get a mortgage.
    
    You almost have to lie to get a mortgage.
    
    ed

This note is from the NON_CUSTODIAL notes file.....My S.O. can't even get
away with not telling the bank about his child support as his EX won't
let him off the mortgage....read on....

-------------------
Hi!

This is my first time in this notes file so you will all have to excuse me
if this question has already been addressed.

My S.O. has just gone through divorce and we are now trying to understand
the ramifications of the settlement for future real estate buying power.

My S.O. and his ex had come to an agreement that she would stay in the house
until the kids were 18, or she remarried, or she missed 2 payments in a
12 month period.  The court asked that the EX take a secondary mortgage out
to assure my S.O. of 1/2 the current equity plus 6%/year (simple interest)
until the house was sold.  In return, my S.O. was told to sign over a 
quit claim giving her full title of the house.

The problem we are facing is....

	The banks don't seem to care about the secondary mortgage deal and
	will hold my S.O. accountable for the entire first mortgage since
	his name is still on it.

	The bank also sees that child support payment as a large porsche
	car payment, thus throwing the debt income ratios way, way out
	of proportion.

	So basically my s.o. is a liability when it comes to applying 
	for a mortgage in the future.  First he hold the first mortgage
	entirely, with no title and then he has a porsche payment to boot.


Lastly, with favorable interest rates, we have already come to the conclusion
that the EX have enough income (debt ratios being o.k.) to support the 
mortgage on her own.  She will not do so though , because of spite.  Does
anyone have some insight as to how this could be solved........

Thanks

Beth

    What you need is a mortgage broker to find someone who is willing to
    accept your mortgage and the associated risk.  This usually costs a
    point or two more as well as another .5 to 1% interest (look at the
    money as bribes).
    
    I had to get the ax to sign a paper saying that she was paying the
    old mortgage and produced copies of cancelled checks and Citicorp
    accepted that.  I have since read that Citicorp has a portfolio of
    high risk mortgages.
    
    Good luck,
    ed

This seems to be something that is happening as a result of the times.  When