Best way to proceed

yes, a quit claim wouldn't be prevented by that lien. you can do so...but what interest does your Dad have in the home? is it owned by your Mom alone? that's obviously a factor in your plans.

George, thanks for responding. The home is solely in my mothers name. We were considering putting the house in my name so I can take out a loan to do the necessary repairs and renovations since my credit is very good. But there is a lein on the property for repairs that was done that only has to be paid when the house is SOLD. Is there any way around that since the house is being given to me as a gift? If I must pay it in order to get the loan I will. But since the house is actually staying in the family I prefer not to. We will be using the house as a rental for now but it needs a lot of work.

insofar as refinancing is concerned, you'd want to check specifically with your lender to see if they'd allow a loan despite the lien on the property. you'd have to piggyback this with documentation from the town to the effect that the lien is not payable until the home is sold, and that your taking possession by quit claim would not impair that condition. if all that can be accomplished, then i would think you have a good shot at doing what you wish to do.

you need to speak with your lender upfront, however; don't do anything until you have your financing virtually guaranteed.

George, I just returned from the county clerks offices. At the clerks office you can do a search by property or by name. I saw the lien that my mother was telling me about it is attached to the property if sold (20K). When i did a search by name there was several judgements attached (credit cards) to her name. Can the property be quit claimed with those judgements attached to her name? If she quit claim am i responsible for that debt?

What is the difference between liens and judgements?
attached to person? attached to property?

Thanks George

let me first say that i think it's wonderful that you took the time to go to the office and do that research. people are usually intimidated and neglect to take advantage of this opportunity. there's lots of valuable information at our fingertips and we all too often pass it by.

okay...a quit claim deed can be completed no matter the rest of the situation. all a quit claim does is transfer someone's interest in the property. the liens continue no matter who is the owner. realistically, a creditor ought to be paid off, but that's not often the case with quit claim transactions.

now you didn't tell me about your dad's involvement - i guess he's not on the title(?). if you become the sole owner, you will end up being responsible for the liens that have been filed, as they'll need to be paid in full in order for you to sell the home, if you ever do that. otherwise, you cannot pass clear title on to a buyer.

i hope that's sufficiently explained for you; let me know if you need more information, of course.

Thanks for the information i appreciate it. No, my father is not on the deed it is in my mothers name. As far as the lien i understand it only becomes a issue when the house is sold. Do i need to be concerned about the judgements? Will i as the new homeowner be responsible for my mothers old credit card debt? I am a little concerned about my credit being affected by taking on this project. I just want to know exactly what i am getting in to.

judgments are the equivalent of liens, so yes, they'll be something to concern yourself with. as for your Mom's credit card debt, that ought to be nothing that you'd be concerned with - unless those creditors don't get paid at all, and then claim that what you've done with title is improper. they could attempt, in that circumstance, to place their own liens.

is it a thing to worry about? no, worry about nothing; but keep it in the back of your mind as something you may have to confront at some point down the road. your credit should not be affected - creditors have no business asking you for payment on debt that's not your own.

as long as you can take care of the ordinary obligations, you ought to be okay.

i'm sorry perhaps i didn't fully explain myself. The judgements that i am referring to was discovered when i went to the county clerks office. My mother seems to think that those judgements were old credit card debts that was never repayed. Believe me when i tell you she is in no position to repay at this time.

Prior to going to the clerks office i took your advise and spoke to a lender. I was told that i probably would have to satisify the 20k lien on the house in order to get the HELOC. Then i go to the clerks office and discover these judgements. I maybe willing to pay off the lien but the pay off all my mothers debt that is a bit to much. But my question is if the house is quit claimed to me am i responsible for her debt that has gone to judgement.

kimbo, my assumption is that your having discovered these judgments when you went to the county clerk's office means that they have become liens on the property. that office can clarify this for you if you're unsure.

if, in fact, these are now liens, then they accrue to the property and whoever might own it. in this case, of course, that would mean you. theoretically, when property is transferred from one party to another, liens etc. get paid in full. since your transfer that we're discussing is a family transaction, it's not your ordinary transfer, and the liens are not going to be satisfied due to a sale.

i completely understand your stance - i wouldn't want to pay for these old debts either. what you really need at this point is clarification. if there are no liens on the property other than the one you cited, then you are likely fine.