Quit claim procedure.?

Question

Wife and her brother co-own late mother's home. $80 K still owed. She died with several outstanding debts. Brother has no credit and spotty income. He has helped little with mortgage. House has been on market since 02/06 with no results due to much work required inside. Wife took on executrix to avoid foreclosure and to keep him off the street. She is looking into quit claim but it's slow going. Need to know if this will work since d/n want to consider filing bankruptcy, loss of credit, possible loss of our own home.

Answer 1

As long as the mortgage is not in your wife's name, getting behind on the payments is not going to affect her credit. If she signed a Quit Claim Deed, to whom would she grant it to? A Quit Claim Deed is a simple form that any attorney can draft for you at minimum expense. As husband, you also will have to sign it. Without knowing how much is owed and how much it's worth, it's difficult to determine if there is any equity worth trying to save by making the payments, paying the taxes and insurance, utilities, etc. Another option is to rent it out, but you've probably already considered that. If there is no equity, let it go. It can't hurt the deceased credit anyway.

Answer 2

I'd think your wife would be well advised to talk to the lender. They can't come after your home unless she co-signed the mortgage. Unless it's an unusual situation, your wife and her brother do not own the house but the estate does. If you are telling me your wife is trying to protect her brother, you can't make a silk purse out of a sows ear. That's another way of saying you can't protect him from himself.