Posted on: 18th Feb, 2009 03:43 pm
my daughter acquired her house in her divorce settlement; however her ex husband's name is still on the loan. he has nothing to do with the house or the mortgage and she can't afford to refinance at this time. unfortunately, with his name still on the mortgage, due to a recent address change with the post office, any mail (both bills and refund checks) are being mailed to him at his new address. she calls the mortgage company every month and they change the address--however the post office mails everything to him. today she was told about a simple assumption and that it should take care of the problem. what do you think?
Hi jgunning!
Welcome to forums!
With the help of a simple assumption, the mortgage obligation is transferred from one owner to another. You will require few documents to be signed while transferring ownership and thus it is known as "simple". Moreover, you should also note that a simple assumption does not release the original borrower from the liability of paying the debts. If the new owner defaults, then the original borrower will have to pay the dues.
As far as changing the address on the mortgage docs are concerned, I think your daughter can go for it. Once she does a simple assumption, she will receive the bills as well as refund checks at her address.
You can also check out a detailed discussion on simple assumption from the given link:
http://www.mortgagefit.com/discuss/simple-assumption.html
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
With the help of a simple assumption, the mortgage obligation is transferred from one owner to another. You will require few documents to be signed while transferring ownership and thus it is known as "simple". Moreover, you should also note that a simple assumption does not release the original borrower from the liability of paying the debts. If the new owner defaults, then the original borrower will have to pay the dues.
As far as changing the address on the mortgage docs are concerned, I think your daughter can go for it. Once she does a simple assumption, she will receive the bills as well as refund checks at her address.
You can also check out a detailed discussion on simple assumption from the given link:
http://www.mortgagefit.com/discuss/simple-assumption.html
Feel free to ask if you have further queries.
Sussane