If the property is sold, any debt on the property must be satisfied before the proceeds can be split among the co-owners.8.

I have found that different banks count rental income differently - but for each property, the rental income will be added to the income side of your DTI and the mortgage will be added to the debt side.There are other types of non-conventional loan products you may be able to refinance into, which may be more specific to your market and local lenders, as other posters have suggested.  

Last time I checked with one lender, she told me I reached my income debt ratio and did not get the cash-out refinance.

Failing that, rent it on a long term lease option to wittle down the balance.Do you guys believe loan acceleration risk goes up substantially by trying to negotiate down the debt as the new owner of the property?

But there is about 800,000 dollars worth of debt on the house which they are trying to settle before selling.

First, LO is a form of Seller Financing.Now, the option to do any form of seller financing is completely dependant on whether or not the seller has any debt on the property.  100% equity is the best. 

If you have all three of these qualifications, many operating groups will be happy to offer between 5% and 20% of the total general partnership equity in return for your being the loan guarantor.A couple ultra high net worth individuals I know make many millions of dollars per year by simply signing on non-recourse debt. 

That's true for typical recourse debt.But for the types of debt associated with larger deals, it's a bit more complex.

Those loans are based of of Debt Service Coverage Ratios and less so on borrower credentials. 

And the reason I was thinking about borrowing against my home was because I’m wanting to leverage debt in my favor .