Posted: Tue Mar 25, 2008 3:01 pm Post subject: Mortgage VS warranty deed in divorce
I am just looking for someone who has been in a similar situation and can offer me some knowledge rather than advice. I am indeed in midst of a divorce but we own a house together. I have the mortgage and it has my name along with his...however the loan is in his name alone. I got some papers that he supposedly got from our local courthouse. It has a copy of a warranty deed. What is the difference between a warranty deed and a mortgage? He thinks that this is going to automatically give him the house but according to the USDA my name is indeed on the deed for the house. My name is not on the warranty deed but it does acknowledge that he is married. Will this make a difference that I want to sell it and he wants to keep it?
I am a little confused with what you have said here "I have the mortgage and it has my name along with his...however the loan is in his name alone." If you are on the mortgage then how can your husband be on the loan alone?
If the property is free from mortgage then only one can use a Warranty deed and this deed is mainly used for selling or buying the house. So if it is a mortgaged house then your husband cannot use a Warranty deed.
Are you on the title of the house? If so then he cannot take you out of the deed. If you quitclaims then only you will be out of the deed.
Feel free to ask if you have any further questions.
Posted: Tue Mar 25, 2008 3:25 pm Post subject: Hi and thank you for the nice welcome!!
We went through the USDA to buy our home but they in order to pass the credit portion my hubby had to go through the loan with them alone so the loan got put in his name alone. Our real estate agent was also the prior owner of the house that we bought and the mortgage papers that went through the lawyer and the agent were drawn up with my name on them. I had found that my hubby had a side agreement with out agent and emailed USDA to ask if that was legal and they emailed me back with not being able to give me any information because I was not on the loan but I was shown to be on the deed. Now these papers with this warranty deed from the courthouse have shown up with his name, a married person.
Posted: Tue Mar 25, 2008 10:17 pm Post subject: RE: loan and title issues
Hi Dereks,
Welcome to our forums.
What I can make out is, may be to help you with the credit, your hubby has cosigned on the loan, meaning he need not repay the loan in monthly instalments. But only when you'll be in default, the loan should be repaid by him. So, in that case, the USDA papers should have both of your names.
I think there's some kind of confusion here. You need to recheck the loan docs, talk to USDA and to your spouse regarding who exactly is on the loan and then proceed.
Just remember, the warranty deed is a legal doc that helps one add or remove names from the title. It cannot reflect your spouse's name automatically until and unless it is drafted in that way. So, you need to talk to your posues regarding who drafted the deed and how come your name isn't there even though you are on the title.
If you wish to sell the property and your spouse doesn't, then you can try out with filing a Partition Lawsuit so that you can sell the home even though your spouse is not willing to do it.
Hubby is the primary and ONLY one on the loan. His credit was better than mine so they put it under him ONLY so that we could be approved for financing through the USDA. I emailed te USDA about some illegal things he has been doing and the email they sent back was that they couldn't even answer my questions since my name is not on the loan but they did confirm that my name was on the deed. I was also questioning...since we went trough the USDA low income program...wouldn't they keep the title deed until the house was paid off?as
The USDA approved lender would keep the title deed till the home is entirely paid for. And, if your name is on the deed, no one can transfer it without your signature. If anyone does so, that would be illegal. However, your husband can claim the property in divorce and if it's done through a court case, then the court will look into the division of property.
dereks_sweetie
