Posted on: 18th Nov, 2010 08:26 am
I am thinking of a quit claim to transfer interest to the other person on the loan. there is a second equity loan that the the bank says they want it paid in full or the person the quitclaim is going to has to apply for a loan to satisfy it. Is this true
It's absolutely true. When you transfer ownership of property, any and all liens are due and payable in full.
Do I need to transfer this before we rent it
I don't understand what you mean by that, Budman. You're planning to put tenants in the property?
We are trying to rent the property out in order to recoup the owed amounts. My mother is on the 1st mortgage as well am i. The 2nd is only in my name. she wants to take over and leave me with the 2nd so that she can rent it out cheaper and keep the property. We do not have much of a relationship right now because of this. Forclosure is not an option for her since she has the assets they would come after.
this doesn't sound like fun.
i gather that the property is yours only, and that she is simply a cosigner on the first mortgage. that would make sense since you're the only obligor on the second mortgage.
her "taking over" from you is possible if the lender doesn't find out about it, but that's not quite kosher, nor is it likely to happen inasmuch as they apparently already know what you'd like to do.
from her standpoint, having you maintain payments on the second mortgage certainly makes sense. i gather that you're planning on vacating this property, and that might make paying the second mortgage a difficult task for you.
the lender isn't likely to have too much trouble with you quit claiming your interest to her as long as they continue to receive payments on both loans. it'd be up to you, of course, to make those payments on your second mortgage in order to keep them at bay.
there's no especially easy way to do all this. you two have to come to an agreement and it seems you're going to have to keep the lender in the dark about your plans in the future. but if all payments on each of these loans are paid as they should be, there wouldn't seem to be too much difficulty coming. the worst aspect - for you - is that you'll be stuck with that payment, i guess.
i gather that the property is yours only, and that she is simply a cosigner on the first mortgage. that would make sense since you're the only obligor on the second mortgage.
her "taking over" from you is possible if the lender doesn't find out about it, but that's not quite kosher, nor is it likely to happen inasmuch as they apparently already know what you'd like to do.
from her standpoint, having you maintain payments on the second mortgage certainly makes sense. i gather that you're planning on vacating this property, and that might make paying the second mortgage a difficult task for you.
the lender isn't likely to have too much trouble with you quit claiming your interest to her as long as they continue to receive payments on both loans. it'd be up to you, of course, to make those payments on your second mortgage in order to keep them at bay.
there's no especially easy way to do all this. you two have to come to an agreement and it seems you're going to have to keep the lender in the dark about your plans in the future. but if all payments on each of these loans are paid as they should be, there wouldn't seem to be too much difficulty coming. the worst aspect - for you - is that you'll be stuck with that payment, i guess.
Its not...or better yet hasnt been. I did find a renter which is good but we are still struggling. I went to a consumer debt counseler and he thinks that because my first mortgage is under my mom and i and the secon is under my wife and i that we may be able to quit claim the house to her and claim chapter 7 or 13 on the rest of our debt. does this sound right
and as far as the first it is under a fha loan with mortage insurance. shouldnt the lender be protected and more willing to help me. we did move out so I am sure that since we will consider this a rental there really isnt much they will want to do.
and as far as the first it is under a fha loan with mortage insurance. shouldnt the lender be protected and more willing to help me. we did move out so I am sure that since we will consider this a rental there really isnt much they will want to do.