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divorced and want to assume loan

Posted on: 21st Oct, 2009 10:59 am
hi- to avoid foreclosure scheduled for 11-2-2009, i am in the process of a loan modification with the assistance of naca. the modification is being completed with my income only. i am recently divorced (9-2-2009) but he refuses to sign any docs. i purchased my home with the profits from my previous owned home and my ex was only placed on the loan 7-months prior to leaving. i want to assume the loan and have him completely removed from the loan and deed. prior to my attempt to modify, i was going to short sale my home. the judge awarded me full authority to sign all docs related to the short sale but this is different. my mother, who has excellent credit and makes good money, has agreed to co-sign. i live in california. i owe $580,000 but the house is worth less than $300,000. the bank is considering lowering the principle bal. please help.. what are my options?
I hope your ex-spouse is not on the property deed. If he is not on the property deed, then you can speak to the lender and check out if you can assume the loan. However, if you want to assume the loan, then you should have a stable income and good credit score.
Posted on: 22nd Oct, 2009 02:03 am
Hi Niicss- thanks for the update. However, I believe he is on the deed. Does that mean that I have no other option other than foreclosure?
Posted on: 22nd Oct, 2009 09:08 am
A Judge can remove somebody from Title, so you still have another option available.
Posted on: 22nd Oct, 2009 12:22 pm
is novation an option for me? if so, how do i approach this request?
Posted on: 28th Oct, 2009 12:51 pm
Welcome back btucker,

Novation can be an option for you. However, lenders hardly agree it. You will have to write a hardship letter to your lender and apply for it.
Posted on: 28th Oct, 2009 10:54 pm
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