Grandmother was given quit claim 8 yrs ago and have question

jamieg27 · Joined: 10 Apr 2008 Posts: 3 2.37 Dollars($)

My grandfather who was divorced from my grandmother in the divorce settlement agreed to keep her housed and assist financially, gave my grandmother a quitclaim to the apartment building he owed and she lived in 8 yrs ago however his name is still registered in all the county records. from what i understand she never filed the paperwork to get the quit claim. Supposedly he took a mortgage out after the quit claim was signed. In some investigation of the property that is public there was a mortgage exemtion on the property taxes starting in 2006.
He has since passed on is my grandmother liable for the mortgage that was taken after the quitclaim if there really is one? or since she did not file the quit claim is the building part of his estate? I was not listed in his "assets" when he died nor in his will.

What are her options?

jheard · Posted: Thu Apr 10, 2008 3:21 pm Post subject:

Your situation is why you are supposed to file deeds: to give others notice of the title transfer. If she had filed the deed, your grandfather would not have been able to obtain a mortgage.

However, filing is not required for title. Your grandmother has title, so the property is not part of your grandfather's estate.

I don't know what a "mortgage exemption" is. Do you mean "homestead exemption"? In any event, a tax exemption won't affect title or mortgage liability.

You can check with a title company and do a title search on the property and determine if there are any mortgages. If not, file the deed immediately.

If there are, your grandmother may be liable, but check with a local real estate attorney.

jamieg27 · Joined: 10 Apr 2008 Posts: 3 2.37 Dollars($)

In Indianapolis IN this is what is on the property tax bill
if there is a mortgage on the property

We are hoping that it is low enough that she can sell it immediately as
she is 83 yrs old and on a fixed income and in poor health so she could not even manage to keep up with the everyday maintenence of the property. and she needs to be with family now

He did own a property mgt co which he sold and they have been still managing the property so they could take care of the financials the tax bills were always paid by him too.

larry · Joined: 27 Jun 2007 Posts: 2951 411.26 Dollars($)

Hi jamie,

Welcome to the forum.

Your grandmother owns the property but she does not own the mortgage. In spite of that the lender can foreclose as he has invested. So your grandmother will have to take the mortgage on her name to remain on the property.

Can she able to do that?

Best of luck,
Larry

jamieg27 · Joined: 10 Apr 2008 Posts: 3 2.37 Dollars($)

Well since its only 37K and the property has a resale value of at least 125K and prop tax assesment is 159K she will be able to sell and make money. I think the property mgt team will use the rental income to
take care of the payments until it is sold

my dad is going up there to tend to all the financial stuff for her and see about maybe selling it to the property mgt team or something like that

due to her health she is having to sell the building anyways and move to Texas with my folks

larry · Joined: 27 Jun 2007 Posts: 2951 411.26 Dollars($)

Well jamie,

It is good that you are trying to sale the property and pay off the lender and at the same time, your grandmother can make some money.

Also as you grandmother is now 83years old, it will be better for her to stay with the family.

Feel free to ask if you have any further questions.

Best of luck,
Larry

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