Posted on: 05th Jan, 2011 08:16 am
HI,
My mother recently said she wanted to leave her house to me and my wife. She said that she would sign a quitclaim deed to transfer the house to us upon her death.
The issue is that the house has a mortgage which probably exceeds the current market value of the house.
Is there any good reason to have her quitclaim the house to us? We can't afford the current mortgage payments and we don't know when/if the market might rebound enough to provide equity.
Also, I've read on your site that the mortgage could become due immediately upon transfer. Are there exceptions when the death of the grantor is involved, i.e. a living trust?
Thanks
Jim
My mother recently said she wanted to leave her house to me and my wife. She said that she would sign a quitclaim deed to transfer the house to us upon her death.
The issue is that the house has a mortgage which probably exceeds the current market value of the house.
Is there any good reason to have her quitclaim the house to us? We can't afford the current mortgage payments and we don't know when/if the market might rebound enough to provide equity.
Also, I've read on your site that the mortgage could become due immediately upon transfer. Are there exceptions when the death of the grantor is involved, i.e. a living trust?
Thanks
Jim
Your mother doesn't need to execute a quitclaim deed if she's leaving you the house in her will.
It's her estate that will be underwater, and unless you have the ways and means to maintain the property, you'll want to consult with the probate attorney on how to best get out from under the toxic debt.
Good luck!
It's her estate that will be underwater, and unless you have the ways and means to maintain the property, you'll want to consult with the probate attorney on how to best get out from under the toxic debt.
Good luck!