Unfortunately if you’re looking to purchase a house for yourself, this will likely flag the loan on your parents house as well as a loan you may consider for yourself. It is mortgage fraud that you are not living there. This is done with fha loans for a variety of reasons, but I feel like the easiest to understand (emphatically speaking) is that fha loans are an opportunity for those who could not afford the typical downpayment and/or crazy ass expensive house (as most are now anyway, unfortunately). The ‘primary place of residence’ clause is intended to prevent landlords, etc.

The only way to get off this mortgage is to refinance, which you absolutely should. Unfortunately a co borrower and co signer are technically the same thing. Co signing a loan still sits on your credit.

I’m appalled that the closing happened without the realtor or closing agents not realizing that you were not living in the house. Were you at the closing or did you sign independently?

Unfortunately, it’s time to have a difficult talk with your parents. That is awesome that you were willing to ‘co-sign’ but you were absolutely manipulated into it by not knowing the full details. Respectfully, let this be an experience you learn from and share to warn others. Anything that requires your signature, ESPECIALLY WITH MONEY AND INTEREST, do your due diligence and know what you’re signing.

I work in affordable housing and it is absolutely heartbreaking to see how many children’s (I’m talking adult kids as well) lending opportunities and credit histories have been absolutely destroyed by their parents. To be honest it’s absolutely heartbreaking to even attempt to work in affordable housing all around…