My brother, after 3 years of separation wants to file a divorce. No children. He left a violent relationship, walked out with only his clothes and his dogs. Leaving his wife with the house. He paid the mortgage for awhile, however he couldn't after paying for his own place to live. His wife stated she would try and cover the expenses. I know he was afraid for his life and anyone associated with him, his family (me and my mom). Now with someone new in his life, he feels it is time to finally have closure. He asked for a divorce and his wife is fine with it-however, she is telling him there is no way for him to be off the note with the house if they do divorce. My brother was going to file for a divorce and hope to handle the paperwork himself....I'm thinking with a house involved even though he wants nothing to do with it, he may have to get a lawyer to have her either refinance the loan, or something we may not be thinking needs to be done legally, otherwise, he will still be associated with the home loan...Anyone have any knowledge of how to proceed further? Any advise is appreciated. Thanks!
Lawyer.
There's no getting around it if he wants to protect himself.
Personally I NEVER deal with the legal system without one. It's not common sense, or people wouldn't have to go to school for 3 years just to get the most basic idea about it. Even then; "The lawyer who represents themselves has a FOOL for a client." speaks volumes for a reason.
Ok lots of good answers from people who have been through divorces, so let me give you some advice from someone who worked at a bank. Get a lawyer, but even if the divorce decree indicates that she is responsible for the mortgage payment, it's not good enough. The loan note supercedes the divorce decree and they can still come after him for the payments, and every late payment she makes will still effect both of their credits. I have seen so many people come in waving a divorce decree, saying that they are no longer responsible for the car, house, credit card, you name it. It's a very rude awakening when they find out otherwise. A decent lawyer should be able to explain that, but you would be surprised how many don't
Sell or refinance are his only options here. The same goes with joint accounts. You only need one person to close it, so if he hasn't then he needs to. She can draw it as negative as she wants and your brother will still be held liable.
Ahh an easy question. In our divorce I got the house. This is standard language though I don't remember the exactly wording. Basically it stated that I had six months to refinance the home. If I failed to do that I was required to sell the house and had to take the best offer in a set amount of time. I think it was one month. Kinda sucks with the market as it is but that is the standard in a divorce.
Your brother cannot be removed from the mortgage without refinancing.
Anyway as long as he goes with the standard language she will have a hard time fighting it. The judge almost always rules with standard language. He should not file a quit claim deed until that document is signed because she could then not refinance and he will have no recourse to force a sale since he is no longer an owner, he would only be liable in default.
I don't know if it's the same in Texas or for a house, but when my niece got divorced in Maryland, she got a legal document saying she wasn't responsible for the car eventhough her name was still on it. However, she did have a lawyer, which like everyone else I'd advise your brother get. Refinancing would be the only way to remove him, but I don't see that happening. He can also have it ordered that the house be sold or she buy him out of the home. Again, a lawyer is the best option.
She may have to "buy him out" of his share of the house...I don't know Texas law so I would contact an attorney...especially if he fears for his life...there needs to be a paper trail of communication, etc.
If he doesn't want the house - she can refinance it herself and qualify under her name only - therefore removing him from the deed of trust - he needs to be assured this is all done - so really - I would get a lawyer.
It's none of her business if he's moved on....so since they have no children together - once they settle the issue of the house - they should be able to cut ties completely.
If there are things in the home he wants - he should set up a time to go there and get the items. He can have a police escort...i know when I left my ex-husband, his CO had two guys from the unit there with me...I know he's not active duty - but he could ask his local police station for guidance..
GOOD LUCK!
Each states laws are different, it will be best if he at least consults with an attorney. My experience comes from another state.
The divorce agreement can insist on the sale of the house if she is unable to refinance it on her own. Even if the house is "awarded" to her in the divorce, the terms of the loan still belong to both; and he will be equally responsible if she doesn't pay.
Sell or refinance, but absolutely he MUST get his name off the house!!
I am divorced and my ex's name is still on the mortgage. I plan to refinance to get his name off. I've been paying the payments even when we were married. Both my lawyer and his lawyer said that the divorce decree can only decide who gets the house but does not have any authority to order the mortgage company to take a name off. I've been told by several people that the mortgage company is often hesitant to refinance to one person because it does decrease the security of the loan.
Bottom line: refinancing is the only way to remove a name. You can sell the house before the divorce and then the mortgage will be gone.
To remove him from the mortgage, she has to refinance the loan.
Everything Jennifer S. said. She's right on.
I think you're probably right. Lawyers are expensive, but he needs to protect himself. Wish him well for me.
Jennifer S is right. Suz Orman has advised against staying on the note and signing over rights/ownership to the deed. I think the term is "quit claim". If I find the link I'll send it to you.
from what i understand if both names are on the loan and on the house. The house needs to be sold. I had this conversation with my friend today. We also thought if one person were to be taken off the loan, the person who wants the house would have to apply for their own loan on the house. Its complicated. I think the easiest is to sell.
I know I'm a little late. Here's the deal... the house and loan are two different situations even though they are tied to each other. Your brother and his wife on on the loan and deed. Although he may deed his half of the house to his soon to be ex-wife, the loan is another matter. The finance company does not have to remove the spouse since it took both of them to qualify for the loan. My suggestion, have her refinance, remember, he's entitled to 1/2 the value of the home. So she would need to refinance for the balance and then pay him (if there is any equity in the property). Agree to have an appraisal done so it can be determined the value of the property. After he is able to get his portion of equity, he can deed his half to the soon to be ex wife, also upon signing of finalization of the divorce
papers.
Hope this makes sense.
