Posted on: 25th Mar, 2010 08:42 am
Hello - I think I just posted this in the wrong forum, so I am re-posting in the correct one. Sorry for any duplication!!
Here is my situation:
I currently have a mortgage on a family home (House #1). I am the only name listed on the mortgage and deed.
Can I somehow transfer the deed to someone else, but I keep the mortgage and continue to pay it?
Unfortunately, I co-own House #2 with my sister. We both are responsible for 50% of the mortgage. Recently, she has stopped paying her 50% and the house is about to foreclose. I cannot afford her half of the mortgage, especially since she is collecting rent from her tenants and still refusing to pay.
She refuses to work with me, so I am concerned that when we foreclose or whatever happens, the bank will try and take my assets (House #1) as payment.
I learned my lesson about getting involved with family - never again!
In the meantime, what can I do to protect House #1? I would like to sign it over to another family member or someone else until this whole mess is over. I don't know if that is possible though.
Please help!
Thanks,
Jen
Here is my situation:
I currently have a mortgage on a family home (House #1). I am the only name listed on the mortgage and deed.
Can I somehow transfer the deed to someone else, but I keep the mortgage and continue to pay it?
Unfortunately, I co-own House #2 with my sister. We both are responsible for 50% of the mortgage. Recently, she has stopped paying her 50% and the house is about to foreclose. I cannot afford her half of the mortgage, especially since she is collecting rent from her tenants and still refusing to pay.
She refuses to work with me, so I am concerned that when we foreclose or whatever happens, the bank will try and take my assets (House #1) as payment.
I learned my lesson about getting involved with family - never again!
In the meantime, what can I do to protect House #1? I would like to sign it over to another family member or someone else until this whole mess is over. I don't know if that is possible though.
Please help!
Thanks,
Jen
Hi Jen,
If you transfer the property to someone else just before the foreclosure of your second property, it would be considered as a fraudulent transfer by the creditor. You can be penalized for such a transfer.
After the foreclosure sale on your second property is over, you and your sister can pay off the deficient balance resulting from the sale. This will help you in saving your first property.
Thanks
If you transfer the property to someone else just before the foreclosure of your second property, it would be considered as a fraudulent transfer by the creditor. You can be penalized for such a transfer.
After the foreclosure sale on your second property is over, you and your sister can pay off the deficient balance resulting from the sale. This will help you in saving your first property.
Thanks
Thanks for the information. I will not transfer. Are there any other options?
What if I were to SELL house #1 to a family member. Is that the same situation?
I ask because on House #2, my sister is already refusing to pay the mortgage, she will not agree to pay off any deficient balance resulting from the foreclosure. It will be left up to me to pay the full amount (even though she is listed with me on the deed/mortgage). Since I will not be able to pay the deficient balance on my own, I feel they will go after my assets (House #1).
Thanks
Jen
What if I were to SELL house #1 to a family member. Is that the same situation?
I ask because on House #2, my sister is already refusing to pay the mortgage, she will not agree to pay off any deficient balance resulting from the foreclosure. It will be left up to me to pay the full amount (even though she is listed with me on the deed/mortgage). Since I will not be able to pay the deficient balance on my own, I feel they will go after my assets (House #1).
Thanks
Jen
Welcome secshop,
If you sell off the property just before the foreclosure, things would be the same. If the lender forecloses the property, then he will have the rights to come after both of you for the deficient balance. If you're unable to pay the balance amount, then the lender will be able to place a lien on your other house.
If you sell off the property just before the foreclosure, things would be the same. If the lender forecloses the property, then he will have the rights to come after both of you for the deficient balance. If you're unable to pay the balance amount, then the lender will be able to place a lien on your other house.