“Last June I purchased a home. I had everything set to close but come to find out my income to debt ratio was off by % 2 and with the house being 73,000 and the bank allowing me close to 70,000. I was in love with the house so ask my girlfriend to be that small percent with her income to help me finalize the house. I put all the money down and some of the papers are in my name and some are in both. We are split now and want the mortgage in my name, what do I have to do? Do I have to take a new loan out or is there a way to just have her name taken of the deed.”
First, the deed and the loan are two separate things. The deed says who owns the land and the loan says who owes money to the bank, and while these are usually the same people they don’t have to be.
Getting her off the deed is easy. She has to sign a new deed giving all her interest in the property to you. Exactly what form that deed needs to take will differ from state to state, but you should be able to get the proper type of deed for your area drafted up for you for a reasonable fee. You can attempt to do this yourself, but be aware that technical defects can come back to haunt you later when you want to sell or refinance.
Getting her off the loan is a matter of what the bank is willing to do. Typically, banks are not willing to just give up on one of the two people who have promised to pay back a loan, at least not without getting something in return. It couldn’t hurt to call the bank and ask, but expect the answer to be no.
More usually, the way you get someone off a loan is to pay it off completely–that is, you refinance.