Quote:
Originally Posted by mykalberta
Does a bank even allow this with 2 separate incomes? How does the mortgage work with qualifying etc, does it use one persons rating or the combined or would we need to form a corporation and each get the mortgage on our own portion etc?
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Just went through looking at this scenario. What the "mortgage specialist" said is that they cannot use the parents income to qualify in conjunction with your friends because they will not be living in the home. Seemed a little odd as I did that exact thing a number of years ago (thanks parents!), but even after pressing the point, she insisted that these are the rules.
Frankly - the parents should just put the mortgage under their name and "Rent to Own" the place to their kid. Likely end up with a lot fewer hassles.