Posted on: 17th Dec, 2007 12:37 pm
we recently divorced, my ex-husband signed a quit claim deed, i have up to a year after the divorce to re-finance or sell the home, i have realized i cannot re-finance due to low credit scores, no equity in home, too much to handle by myself etc.
are we both still responsible for the mortgage if i sell it for less than is owed or if the mortgage company forcloses on it?
because of the mortgage economy, my home is now worth less than ever before.
are we both still responsible for the mortgage if i sell it for less than is owed or if the mortgage company forcloses on it?
because of the mortgage economy, my home is now worth less than ever before.
hello blsnyder,
if you and your ex-husband were on the mortgage then both of you are still responsible for that.
your ex-husband is not released from the mortgage just by signing the quit claim. with the help of the quit claim, he could only take off his name from the title but he is still now responsible for the mortgage.
if the mortgage company forecloses on your property, both of you will have negative effect on your credit. even if you do a short sale, that will show on the credit reports of both of you. but the effects of short sale is less damaging than that of foreclosure.
if you do a short sale, the lender might seek deficiency judgment to recover the unpaid mortgage balance. in that case, both of you will remain responsible for that.
did you talk to your lender about a refinance? is there any mortgage default till date?
if you and your ex-husband were on the mortgage then both of you are still responsible for that.
your ex-husband is not released from the mortgage just by signing the quit claim. with the help of the quit claim, he could only take off his name from the title but he is still now responsible for the mortgage.
if the mortgage company forecloses on your property, both of you will have negative effect on your credit. even if you do a short sale, that will show on the credit reports of both of you. but the effects of short sale is less damaging than that of foreclosure.
if you do a short sale, the lender might seek deficiency judgment to recover the unpaid mortgage balance. in that case, both of you will remain responsible for that.
did you talk to your lender about a refinance? is there any mortgage default till date?
Have you tried calling the lender? You may be able to get the loan modified..........however usually they won't change the vesting.
By sighning the quitclaim deed your ex-husband waived the ownership rights to the property but he is still responcible for the mortgage if you both are on the loan. That means if the loan goes bad then it will affect his credit as well as yours.
If the property goes into foreclosure you lose the home and have foreclosure on both of your records. If you can find a buyer for less then you owe then you need to negotiate a short sale.
If the property goes into foreclosure you lose the home and have foreclosure on both of your records. If you can find a buyer for less then you owe then you need to negotiate a short sale.
