My good friend, who I have known since we were kids, asked me for a favor today. He originally intended to get a house with his now ex-girlfriend so that he could invest in one and later on, sell it.
The favor is the following: he wants to put my name down in buying the house with him since he cannot "afford" to do it alone. By this, he means the bank is willing to loan him 3x–4x the amount of his salary—but that's not enough. So, they would take my salary into account in order to arrive at the amount he needs to get the house. HE does not need any money from me, and he says he can remove my name after one month through something called Transitional Arrangement. (He compared it to a couple breaking up and the house being transferred entirely to one person in an agreement).
What he needs from me is for me to sign something, and 3 months' bank statements and 3 months' pay slips.
What are the risks, if any, could I be facing?