Problem financing my first Home (FHA Loan) - Help

[Malik Shamsuddin]

Hi everyone, 

I'm currently in an unfavorable situation that I can't seem to find my way out of. Hopefully I can get help here at BP. I currently live with my brother and his wife and I'm looking to move out into a multi-unit house (3-4 units) through an FHA loan.

My credit score is excellent and my income is good sufficient.  The issue is i'm a cosigner/co-borrower (not sure which one) for their house with my sister in-law.  

From my understanding, I need to get my name out of this house so I can be approved for a FHA loan, but the issue is getting the house refinanced out of my name. My sister in-law debt to income ratio isn't good enough to finance the house under her name and my brother has a foreclosure in his name (hence creating a problem for me).

We tried contacting a few loan officers and none of them were able to get my name out of the house.  I would really like to be able to finance a multi-unit home without putting more than 5% down, but I don't know what how.  Any suggestions? 

[Wayne Brooks]

Having the loan in your name, or as a Cosigner, is not a problem in itself.....unless your on title And you got an FHA loan...you can't have two FHA loans at the same time. You won't get your name off the loan if they can't refinance. But surely you know if your name is on the title, as well as the loan, right? The debt will however count against your DTI calculations when applying for your new loan.