My Mortgage Is In My Name Only If I Do A Quit Claim Deed To My Wife, Does She Assume The Mortgage?


2 Answers

Steven Vakula Profile
Steven Vakula answered
When you quit claim real property you are basically signing a document that will be recorded with the recorders office where you reside. This will make a public document that is maintained in your state's title office which states the owner of property and any changes or encumbrances to that ownership. An encumbrance would be a document on file with the recorders office which states any "subject to" issues concerning the particular property in question. Since you are the only person on "record" as being or having ownership interest in the property a quit claim deed would record a change to you ownership reflecting you spouses interest or ownership of the property by mean of this quit claim deed. Also on record is the mortgage of this property stating the mortgagor's lien (monies owed guaranteed by the property). Since a quit claim deed does not change this debt since this is in most cases not a transferable responsibility as the mortgagor has the right to approve or disapprove of the responsibility for repayment you would still be financially responsible for this repayment regardless of your interest or lack of interest in the property. Your wife could then in theory not pay the mortgage this causing all types of issues for you. If you do not want this property then your spouse needs to apply for a mortgage or if available assume responsibility for the money owned subject to the property as collateral if the note is not paid. If she is unwilling or unable to obtain a mortgage on the property then it would not be advisable to quit claim the property to her due to you legal responsibility via the mortgage you have outstanding with this property being the collateral for the mortgage.
Anonymous Profile
Anonymous answered
No.  At the time of the mortgage, there are 2 separate documents.  The mortgage and the note.  The mortgage explains who has an interest in the property - the lender and yourselves.  The note states who is to pay the mortgage.  A quit claim deed only changes the interested parties who own the property.  You will still be responsible for the debt.  The note would need to be refinanced in her name only to relieve you of the debt.

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