can a spouse be removed from property deed and loan in the case of a separation?
2007-08-31 17:10:41 · 7 answers · asked by Trisha G 1 in Business & Finance ➔ Renting & Real Estate
The division of property is usually handled in the divorce decree, but many do want to straighten this out on their own. A spouse can sign his or her interest to the other party by signing a deed wherein the grantee's (person getting the property) name is followed by the words "(full name), as his (or her) sole and seperate property".
The mortgage is a whole different thing. You must have the permission of the mortgage company, many times signing entirely new paperwork. They are very relictant to do this many times which is one reasons why it is usually handled in the decree.
The deed is effective, but the person giving title will still be responsible for the loan if you do not get the mortgage companies approval, etc. Both the person granting the deed and the mortgage company could get left holding a very expensive bag many times.
Good Luck!
2007-08-31 17:21:01 · answer #1 · answered by Title specialist 2 · 1⤊ 0⤋
Only if they consent to this. You cannot unilaterally remove someone from a deed.
The only way to remove someone from a loan is to refinance the loan without the other person.
Normally you would buy out the other party's equity and refinance at the same time. They'd give you a quitclaim deed in exchange for their share of the equity and having the original loan with their name on it retired.
If they refuse to sell out their equity to you the only way to force the issue is to sue for "partition." If the suit is successful it will force the sale of the property and division of the equity. You could then purchase it and put a new loan on it.
2007-09-01 01:31:09 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋
If your spouse will sign a Quitclaim deed then their name will be removed from the title and they will have no rights to said property. The only way to change the loan is if you can qualify on your own.
2007-09-01 00:23:45 · answer #3 · answered by Anonymous · 1⤊ 0⤋
You can't, without refinancing unless the bank will allow you to credit-qualify alone and then release her from the mortgage.
Banks aren't really going that route anymore.
She may not be willing to do that, because she is going to be entitled to whatever equity is legally do to her, and you'll have to pay her that amount via court order...so I would wait until a judge makes that determination, so you don't find yourself refinancing twice, which can be ridiculously expensive.
Remember if you are awarded the home in a divorce and your spouse is not ordered to pay by the court, that DOES NOT mean that they are legally off the hook for the mortgage with the bank...the bank wasn't at the divorce hearing and didn't get a say.
2007-09-01 05:57:12 · answer #4 · answered by Expert8675309 7 · 0⤊ 0⤋
A spouse can sign a "Quitclaim Deed" and transfer the property to another person. Or, it could be done in the court decree when the divorce is granted. Depends a lot on state law where you are located.
2007-09-01 00:26:12 · answer #5 · answered by Sunshine 6 · 1⤊ 1⤋
no, only in agreement or court. for a loan it sticks or stuck
2007-09-01 00:21:30 · answer #6 · answered by just hanging around 5 · 0⤊ 0⤋
Refi is the only way.
2007-09-01 13:47:16 · answer #7 · answered by Leo F 4 · 0⤊ 0⤋