Posted on: 29th Sep, 2008 10:42 pm
thank you susanne for replying, it's my first time in the forum & i like it a lot!
let me clarify what's going on. my friend & i reached a mutual agreement that she should take the house back. their is no escrow open. there is no default judgment against me. my problem is that i can no longer make payments so i'm just giving the house back. she say's all we need to do is for me to sign a "grant deed" over to her & she'll take it to get recorded or i can send it in. i was confused thinking that by signing the grant deed we were doing a "deed in lieu of foreclosure," but i guess this is not correct.
now, is this (grant deed) the correct thing to do? when i sign that grant deed over to her will all my financial liabilities end there? should i sign first the quit claim deed & have a clause stating that i am being released of any liability or obligations pertaining to that property? then sign the grant deed? or do i do one or the other or both. i hope i was able to explain myself better this time around, sorry about. :)
let me clarify what's going on. my friend & i reached a mutual agreement that she should take the house back. their is no escrow open. there is no default judgment against me. my problem is that i can no longer make payments so i'm just giving the house back. she say's all we need to do is for me to sign a "grant deed" over to her & she'll take it to get recorded or i can send it in. i was confused thinking that by signing the grant deed we were doing a "deed in lieu of foreclosure," but i guess this is not correct.
now, is this (grant deed) the correct thing to do? when i sign that grant deed over to her will all my financial liabilities end there? should i sign first the quit claim deed & have a clause stating that i am being released of any liability or obligations pertaining to that property? then sign the grant deed? or do i do one or the other or both. i hope i was able to explain myself better this time around, sorry about. :)
Hi Ana!
Once you sign a deed in lieu, the lender is bound to give you a note stating that the loan is paid. Yes, a grant deed will serve your purpose and it is the correct thing to do. You can add a clause stating that you are being released of any liability or obligations pertaining to that property if you feel like in the quit claim deed. But be assured as a lender she will have to give you the "paid" note.
Thanks,
Jerry
Once you sign a deed in lieu, the lender is bound to give you a note stating that the loan is paid. Yes, a grant deed will serve your purpose and it is the correct thing to do. You can add a clause stating that you are being released of any liability or obligations pertaining to that property if you feel like in the quit claim deed. But be assured as a lender she will have to give you the "paid" note.
Thanks,
Jerry
Hi Ana!
Welcome back to the forums!
Thanks for the appreciation. You made my day. Yes, I completely agree with Jerry that grant deed will be perfectly alright in your case. Your lender will definitely provide you with a note stating that the debts are paid off.
Sussane
Welcome back to the forums!
Thanks for the appreciation. You made my day. Yes, I completely agree with Jerry that grant deed will be perfectly alright in your case. Your lender will definitely provide you with a note stating that the debts are paid off.
Sussane
ana, your post has me thoroughly confused. you stated that your "friend" is "taking the house back." what is the connection between this friend and the mortgage that is due on the house? is she the entity to whom you owe mortgage payments? if not, then you are not going to be released from your obligation to pay a mortgage unless and until your mortgage lender releases you.
George,
My friend is the lender or entity to whom I owe my mortgage payments too.? I bought the house a few years back, I gave her a down payment, and she signed over the deed to me. So all these years I've been making payments to her & all I had signed was a installment note where it states how much I owe & so on. This business arrangement is just btwn the two of us.
So, if I sign the grant deed, deeding the property back to her, what kind of paper is she requiered to give me so that I'm released of my financial liability?
My friend is the lender or entity to whom I owe my mortgage payments too.? I bought the house a few years back, I gave her a down payment, and she signed over the deed to me. So all these years I've been making payments to her & all I had signed was a installment note where it states how much I owe & so on. This business arrangement is just btwn the two of us.
So, if I sign the grant deed, deeding the property back to her, what kind of paper is she requiered to give me so that I'm released of my financial liability?
as far as i'm concerned, she ought to give you back your promissory note, signed and dated with a "paid in full" stamped or clearly written on the face of it.
you didn't state whether or not there is an legal counsel involved - it wouldn't hurt to have an attorney handy.
you didn't state whether or not there is an legal counsel involved - it wouldn't hurt to have an attorney handy.