Ex husband and I were trying to work things out. We bought a house the begining of July 2006 the middle of July I found out he was molesting my daughter the end of July 2006 he was arrested and will spend the next 5 years in jail. The house was bought on stated income my credit with his income. The house is solely in my name. My realtor found someone he knew to take over the loan. The mortgage was $2271 month raising 3 kids on my own I couldn't afford it. So we did a quitclaim deed. I was told the loan had to stay in my name because on the original papers it said if I sold before 2 years then I would have a penalty. Now the house is being threatened to foreclosure. My realtor has told me that even though the loan is in my name the foreclosure will not affect me. How is this possible? So if the house does foreclose and it does not sell for what is owed who is responsible for the balance me or the people who took it over? Please help any advice would be helpful?
2007-01-21 07:03:14 · 7 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Ok now I just found out that my realtors brokers last name is the same as the person who I signed the deed to. I got screwed big time!!!!
2007-01-22 16:42:37 · update #1
You have a solid lawsuit, you might post for others affected by this company and start a class action suit. Either way you do have a solid case of fraudulent practices and should end up owning the home free and clear from your settlement. Your attorney should be able to freeze the foreclosure pending outcome of this suit. You was blatantly lied to by your agent as part of a very deceptive scam investors use to trick people in depressed situations to give them their home. The deed and the loan are separate issues, they took the collateral and left you with the payments.
2007-01-24 04:21:02 · answer #1 · answered by Kevin H 4 · 0⤊ 0⤋
Get an attorney ASAP because your realtor is a dingbat. All a quitclaim deed does is make you no longer legally the owner of that home. You "Quit Claiming" any legal ownership or responsibility for its care from then forward. But you are still the person named on the mortgage that existed prior to that quit claim deed and you owe that money unless somewhere along the line you got a release of that obligation from the lender.
Sure the person agreed to take over payments but they have defaulted and it certainly can come back on you. When a home is foreclosed on its then sold. If its not sold for the full amount owed on that mortgage you are still responsible to pay the difference unless you file bankruptcy on it. If you are the named person on the mortgage you are the one who gets to pay it and be responsible for it no matter what.
2007-01-21 15:16:24 · answer #2 · answered by t5377537 2 · 1⤊ 0⤋
Get an attorney and sue the broker of that real estate agent. This person should not have a license to practice real estate.
You are responsible for the mortgage. You just gave up your rights to the house, but you're still responsible for the debt. The lender will either 1099 you for the difference or get a deficiency judgement against you (or both!). Get a lawyer now.
There is so many ways this person who got title to your home might benefit from this. The common way is he/she probably collected rent from you or the new tenants while not paying the mortgage.
Regards
2007-01-21 16:42:18 · answer #3 · answered by Anonymous · 0⤊ 0⤋
What you did was violate your due-on-sale clause of your mortgage. I wish states would take away the licenses of Realtors who do this to people.
On these transactions, the only person that makes out is the Realtor. He got his pay. The buyer lost his down payment. You get foreclosed on. Doesn't seem fair to me.
Bottom line - YOU are on the mortgage. Only you. Not your ex, not the new buyer, not the Realtor.
For other buyers and sellers. Don't fall for this trick - it's called different things: Contract for Deed, Subject To, Owner Wrap, and others.
Some agents call it Owner Carry, even when it's not a true owner carry deal.
2007-01-21 16:24:31 · answer #4 · answered by teran_realtor 7 · 1⤊ 0⤋
The agent who provided you with the advice was wrong. Your credit is already being impacted by the late payments and the Notice Of Default (NOD). You might have a legal claim against the agent and their broker/office.
No idea if the agent is just incompetent or if they are really working for the other party and trying to deceive you. I would assume they are incompetent to start. Their insurance company will not be happy with them if you file a claim against them.
You really need to get some professional advice from someone who represents only you. A lawyer is the best idea.
2007-01-22 06:48:51 · answer #5 · answered by Anonymous · 0⤊ 0⤋
I have to agree with the other posters. You need an attorney. Since your loan was not assumable, you are still liable for any shortfall if the mortgage is written "with recourse". Most mortgages are.
2007-01-21 15:39:56 · answer #6 · answered by Bostonian In MO 7 · 1⤊ 0⤋
I would definitely spend a few bucks for a meeting with an attorney.
2007-01-21 15:13:33 · answer #7 · answered by skwonripken 6 · 0⤊ 0⤋