Compare Mortgage Quotes

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

Company Loan Type APR Est. Pmt.

Compare Refinance Mortgage Quotes

My ex and I have been divorced 2 1/2 years. In that time he has not refinanced to remove my name from the mortgage despite court orders. He is now upside down and is having difficulty refinancing. He is looking into assumption, would that remove me from all liability and debt if he is possibly looking at foreclosure? Also, can he use his parents home (with their permission) as collateral to [url=http://www.mortgagefit.com/refinance.html]refinance[/url] the mortgage? This is difficult b/c I am listed for a total of three mortgages (his first and second, and my own house) to the tune of $480,000. I couldn't qualify for a used Yugo at this point...

Thanks for your help,
TAL

jenkin7's picture
jenkin7 | Joined: June 4, 2007 11:02 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi theresaannlee,

If your name is still on the loan, your credit will get affected if the house goes into foreclosure. A refinance would have been the best way to remove you from the loan. But since the house is upside down, a refinance is not possible. He can however assume the loan to release you from the liability. But he needs to show good credit and income in order to do so. He cannot use his parents' home as collateral to refinance the existing mortgage.

Like | Dislike | Share | Posted: Wed, 08/12/2009 - 00:11 | Post subject:

gmakerley's picture
gmakerley | Joined: November 9, 2007 07:36 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

not sure why you'd want to qualify for a used yugo, but....
i don't know how an assumption would work - if the lender is awake, they'll recognize that this is not a viable situation for an assumption. i don't see how he can assume a loan that is his already, anyway.

jenkin is right in that his parents' home cannot be combined with the existing home to refinance. can they help him out if they wish? sure they can, but no lenders would lump the homes together.

this is a difficult situation for you, but also for him...given that he ought to have refinanced this earlier, it's now almost too late to take care of it. i'm afraid i don't have any solutions at this time, unless his parents are open to providing a loan.

Like | Dislike | Share | Posted: Wed, 08/12/2009 - 09:11 | Post subject:

Page loaded in 0.327 seconds.