Posted on: 09th Oct, 2008 12:35 pm
Hi all, thank you for this forum. I hope this has not been asked already but I did look through to see what had been asked before and I think my question is unique:
My wife helped to buy a house for her Mom and sister. So all three of their names are on the deed. However, for some reason we found out later that only my wife's name is on the mortgage.
We are looking right now at some of type of loan modification and went to speak to some people, and they recommended bankruptcy (I guess Chapter 13?) They said that my wife and her sister could submit quit claims so my wife's Mom would be the only one left on the deed. Then my wife's Mom could file for bankruptcy and get the second loan (it's an 80/20 loan) removed because it's way underwater.
However, our question to them was isn't my wife the only one that can file for bankruptcy since only her name is on the mortgage?
Thanks for your help!
My wife helped to buy a house for her Mom and sister. So all three of their names are on the deed. However, for some reason we found out later that only my wife's name is on the mortgage.
We are looking right now at some of type of loan modification and went to speak to some people, and they recommended bankruptcy (I guess Chapter 13?) They said that my wife and her sister could submit quit claims so my wife's Mom would be the only one left on the deed. Then my wife's Mom could file for bankruptcy and get the second loan (it's an 80/20 loan) removed because it's way underwater.
However, our question to them was isn't my wife the only one that can file for bankruptcy since only her name is on the mortgage?
Thanks for your help!
hi harrydrews!
welcome to forums!
yes, your wife can also file a bankruptcy because her name is on the mortgage. moreover, signing a quitclaim deed will never transfer the mortgage in the name of your wife's mother. it is used only to transfer property rights. if your wife and her sister wants to transfer the mortgage in their mother's name, the mother will have to refinance or go through the process of novation.
feel free to ask if you have further queries.
sussane
welcome to forums!
yes, your wife can also file a bankruptcy because her name is on the mortgage. moreover, signing a quitclaim deed will never transfer the mortgage in the name of your wife's mother. it is used only to transfer property rights. if your wife and her sister wants to transfer the mortgage in their mother's name, the mother will have to refinance or go through the process of novation.
feel free to ask if you have further queries.
sussane
hi harrydrews!
if your wife is ready to file chapter 13 bankruptcy, then she can definitely file it. but i think you should also consider the options of dil and short sale before filing bankruptcy.
thanks,
jerry
if your wife is ready to file chapter 13 bankruptcy, then she can definitely file it. but i think you should also consider the options of dil and short sale before filing bankruptcy.
thanks,
jerry