Taking my name off the loan

huerta7905 · Joined: 13 Dec 2007 Posts: 1 1.39 Dollars($)

My now husband and his ex-wife are still on a joint mortgage. We found out today he's approved for another mortgage, but the interest rate is very high due to the fact He's name is on another mortgage. His ex doesn't want to refinance (and is being waht you may call "disagreeable"). Is there any way he can remove his name from the loan (as he is the primary barrower), by forcing her to refinance under her name alone? It is stated on the divorce agreement that she would assume the payments and grees to pay the balance.

jenkin7 · Joined: 04 Jun 2007 Posts: 939 140.77 Dollars($)

Hello Huerta,

If the divorce agreement states that she has to assume the payments and she has already agreed to pay the balance, then she should do that.

In order to remove your husband's name from the mortgage, his ex-wife has to do a refinance in her name. Is it for the closing costs that she doesn't want to do a refinance?

Novation is another option by which he may do so. But for that he has to talk to his lender first. Lenders generally do not agree for a novation, but if she has a good credit and a stable source of income then the lender might give his consent to do that.

michelle · Posted: Fri Dec 14, 2007 5:43 am Post subject:

Welcome to the forum Huerta,

Larry offers sound advice - refinance or novation would resolve the issue.

If your husband's ex-wife is still uncooperative, I would recommend that your husband contact his divorce attorney or another attorney to ask their assistance in enforcing the divorce decree. He really should get his name off that mortgage even if you do not proceed with buying at home at this point. So far, it appears that she has been making the payments, but that could change at any time and your husband's credit could suffer. I do not feel that is a risk worth trying to take.

Best of luck to you.

gmakerley · Posted: Fri Dec 14, 2007 10:41 am Post subject:

a name cannot be removed from a mortgage note. once it is signed by someone, the obligation remains until that loan is paid in full.

generally, when there is a divorce decree stipulating that one of the parties is responsible for all payments, a new lender can overlook the continuing obligation for the other party. in other words, your husband's situation should not have resulted in a higher interest rate, if it can be documented that the former wife has actually been making all the payments, and doing so in a timely manner.

many divorced people are uncooperative (go figure!). there is no way to force someone to refinance a loan. as for novation, i have never heard of this as a solution to a mortgage problem.

see if you can negotiate harder with your new mortgage lender, to see if there is a way to overlook the monthly obligation on that old mortgage that is being paid by his ex-wife.

larry · Joined: 27 Jun 2007 Posts: 3328 473.40 Dollars($)

Hi Huerta,

Welcome to this forum.

If your husband's ex-wife doesn't want to refinance, there is no way to force her to do it. So forget that Smile

- "by forcing her to refinance under her name"

Now refinance, novation or mortgage assumption - nothing will help you out as she will not agree to do any of these things.

So I would like to know whether your husband is on the title also. If he is the owner of certain percentage of the property, then he can file a Partition lawsuit. Thus you can sell the property and pay out the mortgage. After selling the property, the profit and loss will be divided between your husband and his ex-wife. Thus you can remove your husband's name from the mortgage. But before filing the Partition Lawsuit, you should consult with an attorney.

There is a discussion regarding partition lawsuit in this community. You can check it out- http://www.mortgagefit.com/know-how/removecoborrower.html#partition-la wsuit

Hope this will help you. Feel free to ask if you have any further questions.

Thanks,
Larry

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