Posted on: 25th Jan, 2007 10:55 pm
by signing a quit claim deed does that release all financial (mortgage loan) responsibility from the person claiming the deed over? we are separated and trying to divorce but he wants his portion of the equity. i will be agreeing to give that to him in 3-5 years when i am financially stable but meanwhile if he signs the deed over to me will that release his financial responsibility?
No tatusammy, the quit claim deed will not release him from his financial obligation towards the mortgage. He will have to continue paying for it.
Hi Tatusammy,
If your husband signs over a quit claim to you, it will only transfer whatever interest he has in the house. But any person who has his name on the mortgage remains liable to make payments until it is refinanced in the name of other person.
If your husband signs over a quit claim to you, it will only transfer whatever interest he has in the house. But any person who has his name on the mortgage remains liable to make payments until it is refinanced in the name of other person.
Before the property is transferred the lender should be informed otherwise he may ask for full loan payoff as per the due on sale clause. Ask the lender about it prior to changing the title ownership.