Question : Can I be a non occupant co borrower?
I live in Illinois: My fiance owns a home that we want to put an addition on so each of our kids can have their own rooms. We want to do a Home Equity loan with both of our names on the loan. I have been told that can’t happen because my name is not on the title. Can I still be on the loan as a non occupant co borrower so that she is not solely responsible for the whole loan?
illinois home equity loan

Best answer:

Answer by rpg
A home equity loan is a second mortgage, secured by the property.

I suppose you could ask the lender if you could co-sign the loan. I can’t imagine a lender refusing a cosigner.

However, the bottom line is, the loan is secured by the property, and the property is not yours, it is hers. So she is the only one who would stand to lose if the payments were not made. A second mortgage holder (i.e., home equity lender) can foreclose on the property if payments are not made as agreed.