Posted on: 22nd Aug, 2010 12:22 pm
I purchased a time share in my marriage. Now I am divorced and my spouse got the timeshare in the divorce decree/separation agreement. There is still money owed on the timshare but I would like to have my name removed from the deed and financial obligation. Is this possible?
Does filing a quitclaim deed remove me from the financial obligation?
Does filing a quitclaim deed remove me from the financial obligation?
hi pamlasmith,
you can sign a quit claim deed in order to remove your name from the property deed. but it won't remove your name from the mortgage. you need to ask your spouse to refinance the loan in her name in order to release you from all financial obligations toward the loan.
you can sign a quit claim deed in order to remove your name from the property deed. but it won't remove your name from the mortgage. you need to ask your spouse to refinance the loan in her name in order to release you from all financial obligations toward the loan.
A quit claim will remove your name and liability from future maintenance fee obligations, but the new deed must be submitted and accepted by the resort management company. Also, be aware that there may be a resort transfer fee that is also required to change the ownership name in their system.
As to the obligation for the mortgage, recording a new deed will not remove you from the financial obligation of repayment for this instrument. You will want to ensure this mortgage is paid and a satisfaction document is recorded in public records where the resort is located. You can find some helpful free information about the transfer process for a number of resorts at timeshareforums.com/forums/transferring-ownership/
Refinancing is something you may want to look at, but most likely the current mortgage company will not allow it.. Currently, only Trendwest by Wyndham allows mortgage assumptions. timeshareloans.biz offers some independent third party financing for mortgage transactions, but is very, very selective on what resorts it will underwrite. You may simply want to ask your spouse to check with a local bank or financial institution about either a signature loan for the payoff amount, or perhaps a HELOC (which is much harder to obtain than in the past).. I never recommend using a credit card to payoff a timeshare loan, but if you ex agrees, I guess that is an option.
Finally, you both may simply want to research the possibility of selling the ownership and paying the mortgage from the proceeds.. Be aware, this may be the most unlikely scenario- as many ownerships have very little resale value in the current market. DO NOT PAY ANY TYPE OF UPFRONT FEE! Start by speaking with a respected brokerage who only earns a commission if the property is sold. Most will provide you with a comparative market analysis to give you a reasonable idea of what you ownership is expected to bring in the resale market. You can visit progressiveresales.com and one of the agents there will give you some free advice.
Not great options, but at least a few directions you can begin to look at.. Sorry- you are just in a very tough situation.. Make sure that at the least, you file the quitclaim and follow the resort's transfer process to get your name off the deed so at least the maintenance fees don't hang over your head in the future. It's easy to put this off, and then have it come back to bite you a few year's later.
Good luck!
As to the obligation for the mortgage, recording a new deed will not remove you from the financial obligation of repayment for this instrument. You will want to ensure this mortgage is paid and a satisfaction document is recorded in public records where the resort is located. You can find some helpful free information about the transfer process for a number of resorts at timeshareforums.com/forums/transferring-ownership/
Refinancing is something you may want to look at, but most likely the current mortgage company will not allow it.. Currently, only Trendwest by Wyndham allows mortgage assumptions. timeshareloans.biz offers some independent third party financing for mortgage transactions, but is very, very selective on what resorts it will underwrite. You may simply want to ask your spouse to check with a local bank or financial institution about either a signature loan for the payoff amount, or perhaps a HELOC (which is much harder to obtain than in the past).. I never recommend using a credit card to payoff a timeshare loan, but if you ex agrees, I guess that is an option.
Finally, you both may simply want to research the possibility of selling the ownership and paying the mortgage from the proceeds.. Be aware, this may be the most unlikely scenario- as many ownerships have very little resale value in the current market. DO NOT PAY ANY TYPE OF UPFRONT FEE! Start by speaking with a respected brokerage who only earns a commission if the property is sold. Most will provide you with a comparative market analysis to give you a reasonable idea of what you ownership is expected to bring in the resale market. You can visit progressiveresales.com and one of the agents there will give you some free advice.
Not great options, but at least a few directions you can begin to look at.. Sorry- you are just in a very tough situation.. Make sure that at the least, you file the quitclaim and follow the resort's transfer process to get your name off the deed so at least the maintenance fees don't hang over your head in the future. It's easy to put this off, and then have it come back to bite you a few year's later.
Good luck!