Rent room to family member in house with mortgage.
Hello, I live in a single family house on loan. My family member (wife’s uncle) is moving to seattle for 1 year. He has a daughter in 6th grade. To get her registered in near by public school, i need to give him a rent contract so that he can use this rent agreement as a proof of residency for her daughter admissions. At the time of taking the loan i mentioned to the bank that this property is my primary residence and not an investment. Question is has anyone done something like this while they were still paying mortgage? Is there any issue at the time of refinance or selling? I asked a lawyer on justanswer. They said it is legal to do this and i need not inform bank about rent.
Yes, it's legal. Could be sketchy if you purchased the property very recently. Would consider just writing up a rental contract for a bedroom if that's the case
Sign it for 0$. Shouldn’t be a problem. Bank doesn’t know anyway
Thank you for quick answer. 😃
It's still your primary residence. Unless you move somewhere else and rent it, it doesn't matter. It's like if you bought a duplex. If you plan to live in one unit as your primary residence, you still get the 'primary residence' mortgage and can rent out the 2nd unit.
This seems so obvious, gotta wonder how some people are so successful somedays.
The first step of executing a scam is not announcing it lol
If you're still living in it, there's no problem at all.
Does a cousin need a contract for school registration?
The school will most likely take you to court and seize your house. No you’re fine. It’s not a big deal. School has no clue on living arrangements they just want an address on file.