I want to transfer the home/loan to my son's name. What are my options?

A local title company can help you transfer the deed. Going outside your local bank, many mortgage broker's or companies have a lot of different residential mortgage programs for all types of credit history. Your son might also talk with a credit restoration company to help repair the credit score.

I would work to add him to the title and speak with a local mortgage lender to see what the issues on his credit are, they should be able to give you a plan to repair the credit. Its hard to say depending on the credit issues how long that will take.

Transferring legal ownership (deed / title) in here in Minnesota is easy. The legal owner simply completes a QUIT CLAIM DEED, put's who ever they want on the title, and record it at the county. But, you can't just transfer the loan itself. In order to do so, the loan itself has to be one that allows it (FHA and VA loans allow it). This is known as an "Assumable" loan. Most standard conventional loans ARE NOT Assumable. But even assumable loans are not automatic. The current lender will have to check out the person you want to transfer it to. If they are a good credit risk, the transfer will be allowed. If the loan is NOT assumable, the only option is to "sell" the house to the person, and have them apply for their own loan. I Lend in MN, WI, and SD. www.JoeMetzler.com

You cannot just transfer the loan into his name. You can however add him to the deed.. this will give him ownership rights, but you will still be obligated for the loan. Unless the loan is paid off in full, either by selling the property, having someone else fully assume the loan (only allowed if loan is assumable), or by paying it off with your own cash, only then will you no longer be liable for the loan... but understand that you cannot remove yourselves from the deed.. Part of the paperwork that you signed when you purchased your home was you agreeing to pay your loan off in full (Due on Sale Clause) if you are removed from ownership. So you can add someone to the deed, but you cannot remove yourselves without the possibility of the lender calling the note due. If your son has bad credit, then he's most likely not going to be able to qualify.. If you want to know for sure, you should contact a local mortgage broker and let them look at his complete loan profile.. only then will you know for sure. .. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347