Posted on: 24th May, 2012 08:53 pm
I am presently in process of divorce. Both my husband's and my name are on the mortgage to our home. If an inter-spousal transfer deed is signed by my husband and the judge awards me the home, does the mortgage company have to let me assume our present mortgage in my name only or will I be forced/required to take out a new mortgage. I am worried about qualifying as I have never owned property in my own name.
Hello lbotorf,
It may be that the property should be transferred out of the name of one spouse into the name of both spouses before it is transferred to the FLP. This may be a good idea even though the property is technically community property held in the name of only one spouse.
:idea:
It may be that the property should be transferred out of the name of one spouse into the name of both spouses before it is transferred to the FLP. This may be a good idea even though the property is technically community property held in the name of only one spouse.
:idea:
>>does the mortgage company have to let me assume our present mortgage in my name only
No
>>or will I be forced/required to take out a new mortgage
You'll need to refinance your existing mortgage, or assume it.
Also, if an inter-spousal transfer deed is signed, there's a 99% chance it'll activate the due-on-sale clause in your note, making your mortgage due-and-payable, unless you receive permission from your Lender first. It amazes me Judge's don't warn homeowners about that clause.
No
>>or will I be forced/required to take out a new mortgage
You'll need to refinance your existing mortgage, or assume it.
Also, if an inter-spousal transfer deed is signed, there's a 99% chance it'll activate the due-on-sale clause in your note, making your mortgage due-and-payable, unless you receive permission from your Lender first. It amazes me Judge's don't warn homeowners about that clause.
Your answer makes absolutely no sense, Sabrina.