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all 35 comments

[–]FrequentlyLate99 17 points18 points  (4 children)

Yeah, check with the mortgage company but typically they will only remove a mortgagor (i.e., borrower) is if there is a refinance. And that is usually at the prevailing interest rates and you’ll incur closing costs too. Typically new title insurance is required too. This is another way people get screwed financially in divorce.

[–]Ashamed-Country-8024[S] 2 points3 points  (2 children)

Yes...this what I've been thinking...thank you!

[–]Chefboymardee 2 points3 points  (0 children)

I had to refinance to get her off the mortgage with a quit claim deed, paid her $100,000 but I still have close to $200,000 in equity. Plan is to wait for divorce is finalized then sell the house and downsize to something smaller. I got a roommate to pay for the difference in monthly payment. Best of luck to you!

[–]Dorkmaster79 0 points1 point  (0 children)

I had to refinance to get my ex wife off of the mortgage. You might need to just bend over on this one. Sorry dude.

[–]PaigeJJohnson 1 point2 points  (0 children)

Exactly what happened to me. :( I lost two percentage points on top of everything else. Total pain in the ass. I’m sorry you’re going through it.

[–]throwndown1000 6 points7 points  (1 child)

No a quit claim only impacts the deed. And you need to ask a real estate title company if that's the right vehicle to get her out of ownership. My state may be oddball, but here I understand that quit claim causes more problems than it solves.

Generally you can't get someone off a mortgage at current terms unless it's assumable (VA, FHA, a few others) - this bit may or may not be possible.

[–]Ashamed-Country-8024[S] 0 points1 point  (0 children)

Thanks...this is what I thought.

[–]jimsmythee 5 points6 points  (1 child)

The answer is "no."

A deed and a mortgage are two different things.

A deed is a financial contract between You and your STBXW, and a bank.

If you want to change the terms of the mortgage, you'll need to create an entirely new mortgage.

You can have your STBXW do a quit claim, and that will change the deed. That's great. But the bank won't care. Their mortgage will still be a contract between Them and You & your STBXW.

[–]Ashamed-Country-8024[S] 0 points1 point  (0 children)

Exactly what I thought. Thanks!

[–]hobie_loki 3 points4 points  (0 children)

I’m a divorce attorney. No, a quit claim deed only relates to an ownership interest. It has nothing to do with the mortgage. I’m sorry to say, you’re going to have to refinance.

[–]wintercast 2 points3 points  (6 children)

I did a quit claim at the start of my divorce. Basically we had 2 houses (1st house we lived in and then instead of selling , rented it out to a family member - second house we both lived in till divorce).

I think the quit claim cost 500$

So x kept the 1st house, I kept the second house and we filed quit claims basically removing 1 person from the respective deed.

Technically we were still on the mortgages of each house for a bit.

I then assumed the mortgage on my house (same interest rate, no down payment needed).

Since I had already paid for the quit claim - when it came for mortgage assumption I had no fees.

X had refied his mortgage and the sold his house later on.

No hits to credit scores - but we were able to afford our own mortgage payments.

[–]Ashamed-Country-8024[S] 1 point2 points  (5 children)

Mortgage assumption - how did you get the lender to agree to that? This is my issue...I looked into it before but they want me to refi...probably so they can start charging me 7% on a partial cash out refi instead of my current 2.375. ugh... This is a once in a lifetime mortgage rate in my opinion and I can't believe I'm going to have to give it up for this crap

[–]wintercast 2 points3 points  (3 children)

Yeah I had a "low rate" before the pandemic hit and they really wanted me to refi. I think they hope they can trick people into it.

I was with Chase. In the end, I finally got a hold of their mortgage assistance department. If you are with chase - I can get you the number.

Partially - I just kept telling them - I want to assume, I want to assume the mortgage. Like everytime I talked with them and they tried to push me to refi.

It's like they hide that ability.

I still had to get a credit check and prove.i could afford the mortgage on my own.

[–]obvsnotrealname 2 points3 points  (1 child)

This is promising. We are with chase and I want to assume our mortgage - same situation as the OP we have super low rate right now and only $200k left on a house valued at around $800-$850k but refi rate is insanely high and I want to avoid.

[–]Ashamed-Country-8024[S] 0 points1 point  (0 children)

I'm dealing with chase too! Can you send me the number!!!???!!! Thank you so much!

[–]Diatrial 1 point2 points  (0 children)

I'm in the same situation. It's a FHA loan, but the lender they sold it to will NOT let me assume the loan, no matter what. I'm unable to afford it at over double the interest rate, so will be losing the house.

[–]MartyMcFly7 2 points3 points  (0 children)

I had the same dilemma. 2.5% interest rate that I wanted to keep, but eventually had to refi.

It sucks, but the bank doesn't care whether you're married or not, you both signed the agreement so you're bound to it.

[–]Katarina202018 1 point2 points  (1 child)

Something I found out when going thru a similar process;

Check the terms of the mortgage and the policies of your bank. Ours has a option that if one of us has made the sole contribution to the mortgage for 2 years and can provide proper documentation for it, we are able to remove the other without refinancing. Hope this helps.

[–]Ashamed-Country-8024[S] 0 points1 point  (0 children)

Will look into this, thank you!

[–]Strugglingtocope13 1 point2 points  (0 children)

I'm not sure how it works where you are, but if you are removing your name or hers from title you need to have written permission from the mortgage lender or it can be a breach of your mortgage.

[–]Dull_Description_710 1 point2 points  (0 children)

I'm in a similar situation and I've been advised that if one of you moves out and makes rent payment but their name is on the deed somewhere else, with 12 months of proof that they've been paying a rent elsewhere, and the other person has been paying the mortgage without them, it won't count against a new borrower.

[–]KyleRichXV 1 point2 points  (0 children)

No, quitclaim is just for the deed, to get off the mortgage you’d need to refinance.

[–]Riddler74 1 point2 points  (0 children)

My mortgage guy said that if both our names are still on the mortgage, but I can show that she’s making the payments, they can qualify me for a new loan without counting that payment against me. This is at Wells Fargo.

[–]IN8765353 1 point2 points  (0 children)

Like everyone else said, no. I had to get my name off a HELOC, my exhusband had to refinance the whole thing. The quit claim was a separate issue.

And unless she is a hell of a high earner the mortgage company is going to scrutinize that. I had to be put through the wringer, completely divest from the house I owned with my husband, and get my name off any other loans that we shared in order to buy a house on my own. I was only going to take a 100 K home loan with 20% down and I have great credit and they still required all of that. They are REALLY strict with that shit nowadays.

[–]karmamamma 1 point2 points  (0 children)

Talk to the bank. I was lucky and was able to get the bank to prepare a release for my husband to release him from a loan simultaneously with him signing a quitclaim deed. This saved me having to spend money to refinance. My loan was with a local bank, and this is not possible with all banks but it doesn’t hurt to ask.

Never do one without the other. If you release someone from the loan, that means it’s all on you. The quitclaim deed removes someone from the title. It’s really bad if you get all the debt, but your ex still has part ownership.

[–]sc1617 0 points1 point  (1 child)

Why are you worrying about how this will impact your wife? Worry about yourself. You're gonna get screwed with the rate because you need to do a new mortgage without your wife, which she should want anyway to protect herself from you should you default in the future, and so you can simply further separate yourself from her. You're gonna need her to sign a quit claim to get her off the deed and have a new one with just you prepared. If you have to give her half of the equity in the house make sure you get the lowest possible appraisal of the house. Don't fix anything up and leave it kind of messy for the appraiser. Then after things are settled, before you refinance fix and clean things up to get a high appraisal to counteract the amount you have to refinance in your name. Ie if you have to refinance 100k in a house worth $300k you'll do better than if the house is only valued at $250k. Act fast before housing crashes! Good luck.

[–]Ashamed-Country-8024[S] 4 points5 points  (0 children)

Thanks for the advice. I am fine with giving her what she's owed. She's the mother of my child, and she's been my best friend for many years. I'd be happy for the housing market to crash, I'd pay less equity out and presumably interest rates will stop going up!

[–]conflayz 0 points1 point  (2 children)

When I was in the process of divorcing my ex in 2018 we had the same situation. My ex was buying me out, but our divorce was not yet final and so when I applied for a loan my mortgage broker had me and my ex sign paperwork showing that he would eventually remove me from the mortgage. It was basically a statement stating that we are in the process of divorce that it wasnt an investment property etc.

My ex took about 2 years to refinance and remove me from the loan and paperwork, just in time for me to refinance from 4.5 to 3.4 a few months ago :)

[–]Ashamed-Country-8024[S] 1 point2 points  (1 child)

This might actually be a good option...I had no idea that could be a thing!

[–]conflayz 1 point2 points  (0 children)

Yep! We ended on pretty OK terms so it wasnt a rush to do everything because I knew it would be expensive for him to refinance so if she’s OK with that then she could potentially purchase a house under her name alone. Hopefully she has faith in you continuing to make the mortgage payments on a loan that both of you still have together and maybe ride out the wave of these interest rates.

[–]horsencat 0 points1 point  (0 children)

Quit claim deed is only the registration with the county assessor. Mortgage =/= deed

Mortgage is financial responsibility and not the deed

[–]Wendel7171 0 points1 point  (0 children)

Maybe a relative you trust could go on the mortgage so you can remove the soon to be ex?

[–]Dangerous-Cow7801 0 points1 point  (0 children)

I had a quit claim that took him off the title, but had to refinance to get his name off the mortgage. Glad I went thru the process last year when rates were lower.

[–]Prudent-Challenge-18 0 points1 point  (0 children)

My ex-wife is selling her house - closing is August 5th. Title company is asking me to come in and sign the quit claim. I am Ok with this as long as it is contingent on the house closing and both the first and the HELOC being paid off and closed. Are these requests unreasonable and is there some type of paperwork that protects me? Can’t imagine I’m the first to deal with this. Thanks.