Quit claim deed means MANDATORY morgage reinance


#1

My ex and I were divorced last year. We have still not had our equitable distribution. I’m trying to keep the marital home. He has agreed to sign a quit claim deed, and it’s my understanding through my attorney that he wants his name removed from the morgage too. Can I be FORCED into refinancing? My ex was late on several house payments over the years. When I took possession of the home, it was difficult for me to make the house payments. Our lender has worked with me on a modification loan and has lowered the payments to something affordable. My ex has been of no help with this. I had to provide all of my financial information, so I’m assuming they have based this modification loan on my income only.

Can a court order me to refinance the house, even if it may not be possible based on my credit? Or can they force him to just sign the quit claim deed WITHOUT removing him from the mortgage, and let me continue to make the payments (at their original amount) with the financial help of my two sons?


#2

You can be forced to refinance, the court may give you a time period in which you will have to obtain financing and if you cannot, may order that the home be sold.


#3

Has a court ever ordered that a mortgage does NOT have to be refinanced? And in the cases where the court says that a party MUST refinance - how much time does the court typically allow the person to find new financing?


#4

I am sure there have been cases in which the court did not order a refinance, it really depends on the individual circumstances. The reason the courts often order a loan refinance is to allow the other party relief from having their name attached to a debt for the next several years, in order that they may too buy a home.

I have seen some cases in which a party was allowed a few years to refinance.


#5

I will tell you that in my case the judge ordered ex spouse to pay the mortgage (only his name was on the loan) and the judge had the house titled in my name only. The judge asked me to try to refinance but not at a higher monthly amount than the current mortgage was at. He was going to still be responsible for the mortgage even after I refinanced as it was ordered as supplemental child support.

I cannot refinance as he does not pay CS and SS as orderd and I do not have an income alone to support the house payment. I have been to several banks . As said on this forum before a judge cannot make a bank give you a refinance.

In our situation he already bought a home for himself when he separated (using marital funds) so maybe the judge is not worried that about issue for him.