Posted on: 23rd Jun, 2010 04:55 pm
Hello, I belong to an organization that had an individual member transfer title of the property to our non-profit organization. However, there is still an outstanding mortgage on the property by this individual. Our organization is currently making the mortgage payments. My question is: Does the organization really own the property? and what happens if the the original owner defaults on payments?
Thank you in advance for your help.
Thank you in advance for your help.
you own the property as much as anyone owns their property with a mortgage on it. if you are on title, it's yours, but if no payments are made the bank will foreclose. also, technically, they can accelerate the payments now based on what i assume is a standard "dues on sale or transfer" clause that exists in most mortgages. if you really want this property it's best that you refinance it out of the original owners name.