Posted on: 12th Dec, 2006 02:54 pm
quit claim deed ... mom owes $30,000.00 morg to mortgage company ... morg co suggested that mom do a quit claim deed ... they said the settlement papers will state mom is released from the debt ... house not worth much more than the 30k... any suggestions i might request the morg co to add to the settlement papers is much needed... thanks and god bless ... aher
Hi Aher,
Mortgage Company is asking for the house to be given to them through a quit claim deed and in return they will clear her mortgage debt.
It would be beneficial as the value of the house is not much and this way your Mom will be released from the mortgage.
Mortgage Company is asking for the house to be given to them through a quit claim deed and in return they will clear her mortgage debt.
It would be beneficial as the value of the house is not much and this way your Mom will be released from the mortgage.
If your Mom is able to continue with the mortgage payments then I do not know why it is required to quit claim the house to them.
They must have suggested this method as your Mom is not able to continue with making the payments. If so, then also it is not necessary for your Mom to give up the house to settle the mortgage.
You can help her financially so that the mortgage payments are made regularly to the company or cut upon some expenses so that the extra savings can be used to pay for the mortgage.
If you are planning to move out and purchase a different house then the method they have mentioned can be used.
Thanks
They must have suggested this method as your Mom is not able to continue with making the payments. If so, then also it is not necessary for your Mom to give up the house to settle the mortgage.
You can help her financially so that the mortgage payments are made regularly to the company or cut upon some expenses so that the extra savings can be used to pay for the mortgage.
If you are planning to move out and purchase a different house then the method they have mentioned can be used.
Thanks
Hi Jnuig,
If her mom does a quit claim, she will be giving away the property. And, as far as I know, the quit claim in general cannot relieve one from the mortgage. So how come the company ask her mom to sign such a deed?
Thanks,
Sara
If her mom does a quit claim, she will be giving away the property. And, as far as I know, the quit claim in general cannot relieve one from the mortgage. So how come the company ask her mom to sign such a deed?
Thanks,
Sara
Hi,
Even if your mom make a quit claim deed for the mortgage company, your mom will still be liable to pay the mortgage loan as the loan is in her name. You have not mentioned as to why she is thinking of this? If she is making payments to the mortgage company then why will she go for quit claim deed? If she cannot make payments then you can help her financially to pay the loan. Your mom can also go for loan modification, but for that she needs to qualify for the program.
Even if your mom make a quit claim deed for the mortgage company, your mom will still be liable to pay the mortgage loan as the loan is in her name. You have not mentioned as to why she is thinking of this? If she is making payments to the mortgage company then why will she go for quit claim deed? If she cannot make payments then you can help her financially to pay the loan. Your mom can also go for loan modification, but for that she needs to qualify for the program.