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I hold quitclaim deed; ex-husband holds mortgage. He is defaulting on the mortgage. Where does that leave me?

Posted on: 21st May, 2010 04:31 pm
As divorce settlement, my ex-husband remained responsible for the mortgage while I have a Quitclaim deed on the property. Now, he is defaulting on the mortgage. Where does that leave my liability?
Hi kaspdeb,

You are the owner of the property but your husband is liable for the loan. As the lender holds the lien from the property, he will be able to foreclose it if the dues are not paid on time. You will lose the property but your credit report won't be affected due to this foreclosure.

Thanks
Posted on: 21st May, 2010 09:39 pm
If I were to sell the property at a profit before the foreclosure, will I be responsible for the penalties that have accrued during the time the mortgage wasn't paid by my ex-husband?
Posted on: 22nd May, 2010 05:29 am
Welcome kaspdeb,

You won't be liable for any penalties but you will have to pay the mortgage dues in full once you sell off the property.
Posted on: 23rd May, 2010 10:51 pm
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