My girlfriends mom, let's call her barb is in a bad living situation. Shes has a good paying job but made some bad buissness decisions and has terrible credit as a result. She has some dogs that she will never get rid of so apartment living is out of the question.
Buying the house would mean taking out a $40,000 loan and barb would pay the mortgage. Im not sure how much it would cost per month but it would be much less than the cost of her renting a place. The house is very small hence why the mortgage is so low. We would obviously get an inspection done to find any issues with the house.
My girlfriend and I already have substantial debt ourselves with our own mortgage and we just got a new car payment on top of student loans and credit card debt from being stupid 20-somethings.
If her mom were to die and we had to take over payments then we would be able to use her life insurance policy to pay off the house so that's not something to worry about.
I'm mostly worried about how taking on that much additional debt would effect our credit. Is there anything else I should be thinking about?
Buying the house would mean taking out a $40,000 loan and barb would pay the mortgage. Im not sure how much it would cost per month but it would be much less than the cost of her renting a place. The house is very small hence why the mortgage is so low. We would obviously get an inspection done to find any issues with the house.
My girlfriend and I already have substantial debt ourselves with our own mortgage and we just got a new car payment on top of student loans and credit card debt from being stupid 20-somethings.
If her mom were to die and we had to take over payments then we would be able to use her life insurance policy to pay off the house so that's not something to worry about.
I'm mostly worried about how taking on that much additional debt would effect our credit. Is there anything else I should be thinking about?