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Can i assume the mortgage?

Posted on: 01st Jan, 2009 11:06 pm
My husband moved out over a year ago and we're not yet legally separated. He was providing financial support, from which, I paid the mortgage on our family home (it's through Countrywide). We bought the house in 1993 but he did a cash-out refi in 2004.

In the last few months, he became inconsistent in providing financial support, and 2 months ago he stated that he would take over paying of our bills, and would only pay certain ones, such as the mortgage and utilities. I discovered that he hadn't paid any of our bills.

The Dec mortgage payment was not made, and now the Jan payment is due. He hasn't responded to my questions about his intentions for our home and the mortgage payment. I'm worried that he is trying to foreclose and leave me homeless.

I am on Title but not on the mortgage loan (after he had refinanced in 2004). I don't know if I can even assume the loan since we had a traditional marriage and I was mainly a homemaker with an occasional part-time job here and there (my last job was over 2 yrs ago).

I would really like to get some advice on what I can do, as I want to keep and stay in our family home. He had ruined my credit and I don't think I'd be able to buy another one as it is. I think he doesn't care what happens to me or the house and isn't worried about his credit since it's bad as well. I think he is trying to foreclose...

Would there be a way for me get the home and maybe assume the loan? Any help or advice is appreciated.
Hi worried,

As you are only on the title of the property and not on the mortgage docs, you are not liable for the mortgage payments. Moreover, your credit will not be affected due to the foreclosure as your name is not on the mortgage.

As far as assuming the loan is concerned, I don't think the lender will agree to it. The lenders will check the income history of a person before approving a loan to him/her. As you don't have a proper employment history, there are chances that the lender will not agree to give you a loan. It will be better if you can come to an agreement with your husband and ask him to pay the dues on time.

Thanks
Posted on: 02nd Jan, 2009 12:19 am
hi jameshogg, thanks for your reply.

it would be great if i could get my husband to pay, but it seems he doesn't want to pay anymore! i think if i get an attorney and file for legal separation, then i may be able to get some relief through spousal support, to make the payments. still, i was hoping to not have to go through any qualification process...

I heard that it's possible to put myself on the mortgage docs, but not sure of the requirements. I guess I can call and ask them? So if I am able to put myself on the loan docs, would I then be able to assume the loan?
Posted on: 02nd Jan, 2009 12:43 am
worried i am afraid it's not that simple - you can't just call and ask for your name to be placed on documents that were signed years ago. clearly, since you have ownership of this home, you're going to have to be able to speak with the lender. i'd suggest finding a good real estate attorney who can begin that conversation for you.

obviously, your most favorable situation would be if your husband makes the payments, but you need to take measures to ensure your own well-being, and fast.
Posted on: 02nd Jan, 2009 07:25 am
Hello Worried! The mortgage loan has nothing to do with ownership of the property. The loan is note with specific terms and filed as a lein against the property. If it not repaid according to the note he signed, the lender will foreclose according to the deed of trust. Your husband can execute a deed and make you the sole owner however he will not be released from liability on the loan until you qualify with the existing mortgage company and they agree to remove him or the note is paid in full.

[Promotional text deleted as per forum rules. Thanks.]
Posted on: 06th Jan, 2010 07:10 pm
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