Prevent Surprises with Your Co-Buyer

David Sacks
If you are buying a home with someone else, make sure they don't have any tax liens, owe back child support, or have outstanding court judgments against them. Right before escrow closes, the title company will search to make sure there's nothing out there, because any of those things can be recorded as a lien against your home, impacting your lender's interest in the property. Your lender will refuse to fund your mortgage until they've all been paid off. If they are large debts, this can mean that you'll have to either (a) buy the place alone, or (b) figure out how to come up with a bunch of cash to pay them off before you can get into your house. Prevent surprises, and check with your co-buyer on these things before you get into escrow.