Posted on: 21st Dec, 2009 08:59 am
my ex lives in a home we bought together. he had three months to refinance and remove my name according to our divorce decree. he refuses stating he will have to come up with too much money because the house is no longer worth what we paid for it. i have two little girls and i want a home for us. i'm tired of renting and i have a good income. 75,000 per year. someone told me that a quit claim deed will allow me to finance another home is this correct?
maybe.
your income may well be sufficient to allow you to qualify even though you've still got an obligation on your former marital home. that obligation doesn't go away with a quit claim deed, by the way. unless and until the underlying mortgage is gone, you're still obligated, legally, on that note.
your timing isn't too good - but that's not your fault, of course. with values having declined all across the nation, this is a sort of an epidemic that's flowing from divorce courts everywhere.
can you qualify with the mortgage still sitting on your credit report? and another tactic you may be able to employ: if your former husband can provide you with at least 12 months of canceled checks demonstrating his timely payment of the mortgage, a prospective new lender might take that into account in reviewing your qualifications. that's the way it used to be when things were "normal" at least, and maybe someone would be willing to view things that way for you.
your income may well be sufficient to allow you to qualify even though you've still got an obligation on your former marital home. that obligation doesn't go away with a quit claim deed, by the way. unless and until the underlying mortgage is gone, you're still obligated, legally, on that note.
your timing isn't too good - but that's not your fault, of course. with values having declined all across the nation, this is a sort of an epidemic that's flowing from divorce courts everywhere.
can you qualify with the mortgage still sitting on your credit report? and another tactic you may be able to employ: if your former husband can provide you with at least 12 months of canceled checks demonstrating his timely payment of the mortgage, a prospective new lender might take that into account in reviewing your qualifications. that's the way it used to be when things were "normal" at least, and maybe someone would be willing to view things that way for you.
Thank you for the advice! I had financing in place over a year ago but it was contingent on him removing my name. I at least have hope that I will be able to. I haven't tried to reapply. I thought it was a lost cause. He has made timely payments, but the loan is for 515,000. It may be too much to allow me to buy another home. I would like to buy a home in the 250,000 range. Thanks!
before you try the ploy i suggested, though, please speak with your potential lender(s). as i noted, this is how things used to be...we're in a new era in the mortgage qualifying game and underwriters are far more close to the vest than ever.