How do you remove a name from the mortgage without a remortgage / buyout?
Does anyone know how together to remove a name from the mortgage? but without being able buy-out/remortgage sole owner of the mortgage? (Due to bad credit). Mortgages (and always has been) paid by a person, but I just need to delete the name so she can not maintain in the future (for what they have not paid). I’ve looked at the claim deeds stopped to remove the name, but I’m more confused if this is enough? Help / advide would be appreciated.
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February 2nd, 2011 at 10:57 am
There is no way you may remove your name from the mortgage is that the person on the mortgage with you request from the current lender an application to assume the mortgage. This would have to be approved by the current lender,but unlikely as they now have two individuals responsible for the mortgage note.
Therefore if one person on the mortgage note fail to make the monthly mortgage payment as required by the mortgage loan docs the both of you signed the lender may come after the both of you.
The only other way to remove your name from the mortgage is to have the other person refinance the mortgage, thus applying and qualifying for a new mortgage loan on their own.
A quit claim deed will remove you from the title deed of the property, however it does not remove you from the mortgage note. Removing yourself from the title deed is regression as you would be taking yourself out of the decision making process as to what can be done with the property.
Removing yourself from the title deed via quit claim deed or any other instrument the other person could then make all the decisions concerning the property. They could sell the property without you being involved in the decision making process.
This should not be an avenue you would want to take.
I hope this has been of some benefit to you, good luck.
“FIGHT ON”
February 2nd, 2011 at 11:25 am
You CANNOT do that.
The reason being is that the person that is left must qualify on their own and this is how the bank makes money.
It’s called a “refinance treated as a purchase” and it must be refinanced, which means closing costs, to remove someone’s name.
A quit claim deed will take you off he title but WILL NOT remove you from the mortgage..so if you are foolish enough to sign one, you’ll lose all legal rights to a property that you are still on the hook to pay for.
This is why you never put your name on a mortgage unless it’s your own.
February 2nd, 2011 at 12:03 pm
This question has been asked in the UK and lreland category. As far as I am aware “quit claim” relates solely to the USA (it is certainly irrelevant in the UK), so do not get confused by foreigners who assume the rest of the world is the same as their country.
A mortgage is a legal contract lending you money that is secured on your house. The mortgage company will never allow you to just remove someone from the mortgage. In the UK the only way to remove a name from a mortgage is to pay it off in full. Unless you win the lottery the only way to do this is to take out a new mortgage without that person’s name.
The names on the mortgage have to be the names of the all legal owners of the property, so to remortgage without the relevant person you have to effectively buy them out. As well as sorting out the new mortgage you will also have to come to an agreement as to how much you need to pay for their share of the house.
April 22nd, 2011 at 7:30 pm
In a divorce, the craziest decision during property settlement would be to remove one spouse from the deed via quit claim deed and still have the spouse remain on the mortgage. I made the foolish decision 3 years ago and I have regretted it ever since.
As part of my alimony, I paid the mortgage for the past 3 years. I at least knew the bills would be current, so i didn’t really worry. Now the 3 years are up, and my ex spouse will not pay the mortage. On top of that, the home has been abandoned for the past several months. The pipes froze and the home was flooded with water. Even with Court intervention, which so far has proven useless, I have no legal right whatsoever to handle the matter. But, I am still responsible to pay the mortgage! The home is about $150,000 underwater due to the extensive damage! My ex spouse refuses to cooperate and allow me entry to the home or pursue the insurance company. She promised me during the divorce that she will do anything to destroy me. Trust me friends, do not remove your name from the deed and stay on the mortgage. Don’t be a fool like me.
May 20th, 2011 at 11:24 pm
I don’t know what to do for the best,,My ex-husband want’s me and my boyfriend to buy him out but there is no equity on the house and he want’s me to give him 15k my ex says that is the only way he will come of it… me and my boyfriend have been paying the mortgage the last 2yrs and redecorating the place i dont know what to do for the best any help plzz