Posted on: 29th Dec, 2010 01:24 pm
Hello Mr. Heard, Atty at Law. My question addresses a former mortgage still in my name after divorce. Is it wise to remain on the mortgage even when your Ex is making late payments which affect personal credit? Or do I Quit Claim and loose half of the potential profit from selling the home or just rub my head balding head for good luck? (-:
hi stevielott!
welcome to forums!
signing a quitclaim deed in your ex-spouse's favor will only remove your name from the property deed. however, it won't remove your name from the mortgage docs. you will have to ask your ex to refinance the mortgage or assume it in order to remove your name from the loan. if your ex cannot go for any of these options, it will be better to sell off the property immediately. the sale proceeds will go toward paying off the mortgage. if there is any excess amount left from the sale proceeds, then it will be divided amongst both of you.
feel free to ask if you've further queries.
sussane
welcome to forums!
signing a quitclaim deed in your ex-spouse's favor will only remove your name from the property deed. however, it won't remove your name from the mortgage docs. you will have to ask your ex to refinance the mortgage or assume it in order to remove your name from the loan. if your ex cannot go for any of these options, it will be better to sell off the property immediately. the sale proceeds will go toward paying off the mortgage. if there is any excess amount left from the sale proceeds, then it will be divided amongst both of you.
feel free to ask if you've further queries.
sussane
Stevie, you may have received an answer you weren't looking for, but I have a question, too.
Does rubbing your bald head for luck really work? Or is it just a figure of speech that you added in order to inject some humor into the post?
As for your quandary, as Sussane pointed out, quit claiming your interest in the property doesn't eliminate your obligation on the mortgage. So if you plan to quit claim, it will be most wise on your part to do it concurrent with your former spouse's refinance transaction. Eliminating your ownership interest prior to a refinance is an iffy situation.
Does rubbing your bald head for luck really work? Or is it just a figure of speech that you added in order to inject some humor into the post?
As for your quandary, as Sussane pointed out, quit claiming your interest in the property doesn't eliminate your obligation on the mortgage. So if you plan to quit claim, it will be most wise on your part to do it concurrent with your former spouse's refinance transaction. Eliminating your ownership interest prior to a refinance is an iffy situation.
