My soon to be ex-fiance and I purchased a 2001 Nissan Xterra together back in 2001. We are both listed as joint buyers for this car. We having been living together for the past 3 years, but we are now in the process of splitting up and he is keeping the Xterra. It is an amicable split, nothing crazy or Jerry Springer - like, just not working out. My credit has improved dramtically since buying this vehicle, and I am now in the market to purchase my first home. With both my car, which is in my name only and the Xterra showing up on my creidt report, I am only qualifying for a home in the 90K-120K range. When it is calculated minus the paymnet for the Xterra, the amount goes up to 170K-190K. I earn 65K a year, and have about 2500 in debt and 8K to put down. Is it possible to be removed from the loan since he is taking the car so I can get approved for something higher? Not saying I would spend that much, but I wanted a new home, not pre-existing, and in my area, 120K won't buy much. I just want a better house. If I were not house hunting, I would not care if I continued to stay responsible for the Xterra, because I know he pays his bills on time. He taught ME about managing my finances, so that is not really a concern. I just want off so I can qualify for more of a house. Any thoughts?
Hello, I just happen to work for a Auto Finance Company and II supervise the dept that would handle Transfers of Equity. I We do process transfers of equity on some occasions. You would need to call your finance company and see if they do allow you to transfer equity from one party to another. If your ex has excellent credit (fico over 700) and his debt to income ratios are under 30% then we would not have a provlem removing you from the loan. If ex's credit is not so good then you would want to refinance with a credit union.
