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Quit claim while divorcing

Posted on: 11th Sep, 2008 10:02 pm
My wife and I have decided to get divorced.I quit claimed my interest in our house so she could refinance.She paid me 50% and now I want to purchase a house of my own.Everything went fine untill the lender realized I was still married.Wife is willing to sign off on any papers to relinquish interests in my new purchase,but lender seems confused as to what papers need to be signed.Any suggestions would be appreciated.Thanks.
Ardy
Welcome ardyar,

I suppose you have been on the right track. It's just that the lender is confused. Perhaps he feels that the divorce decree may say something else after the divorce procedure is executed legally. I suppose it's better you consult an attorney and involve the lender too when you have a talk with him.
Posted on: 11th Sep, 2008 10:12 pm
I think if you get a written agreement signed by your soon-to-be ex stating that she doesn't want any interest in the new house, that will help you move on with the deal. The lender will hopefully agree to finance your purchase. I think an Interspousal deed is the best way to relinquish your wife's interest in property.
Posted on: 12th Sep, 2008 12:32 am
Thanks for the answers.Turns out the lender (countrywide) thinks we're into trying to own two houses to rent one and going for the gravy rate as a primary residence.Wife just happens to be kind enough to let me live here untill I get a place.This can't be the first time for this....rent untill the divorce is finalized and then I'm allowed to buy??This stinks....
Posted on: 12th Sep, 2008 08:07 pm
Yes I know it may not be that easier for you. But I feel if the lender consults an attorney he'll be able to clear his confusion.

Perhaps you're correct in saying that the lender thinks you're trying to own 2 houses, though one is offered for renting and getting gravy rate for the new home.

I suggest that you try shopping with some more lenders and let them know that you aren't divorced yet. Or if your wife signs the interspousal deed, let the lenders know about it. I suppose not all lenders will be confused and object to your loan approval just because you haven't gotten legally divorced.

Thanks.
Posted on: 13th Sep, 2008 12:57 am
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