Has anyone ever done this?

[Stan Plebanek]

I have a friend that is looking to relocate. He has a nice home that does not need any rehab. If I took over the payments subject to the existing mortgage, it would cash flow but there is always the posibility of the loan being called.

If he keeps a small percentage of the ownership in a partnership, does that lower or eliminate the chances of the loan being called?

Just in case it makes a difference, it is a VA loan.

[Account Closed]

The note can't be called due when transferring to a spouse because transfers to spouses are exempted in the law (exemption #6, I think). Some people taking properties sub2 have the owner transfer title to a trust, as such a transfer is also exempt from DOS. Once in the trust, one can change beneficiaries.