Follow-up again to quit claim?
One of 2 answers asked today who is on the note. Only the deceased mother-in-law is on note.
Here is original posting:
This is a follow up to question last week. I asked about quit claim on house with both wife’s and brother-in-law’s name on deed, although estate actually owns the property since mortgage taken out Sep 2003. House worth $75K, mortgage is $80K, thus no equity worth saving. As posted before, wife took on role of executrix to protect estate but mostly to keep brother-in-law off street, since he has no credit and spotty income. She would grant quit claim deed to him and he would declare bankruptcy (2nd time, 1st time a few years ago) and we’d be off the hook for the mortgage payments. As mentioned in 2nd response, we have considered renting but the property would require a lot of work to meet any potential tenant’s standards and we can’t maintain property from 45 miles away. Just curious if: 1) this will work and 2) does brother-in-law have to sign quit claim as well?
January 23rd, 2009 at 12:17 pm
If the only person on the note is the deceased mother in law why has not the loan been called in? if the deceased is the only guarantor of the note then the mortgage can force the sell of the house and file against the estate to collect the balance on the note.
I guess you can hold off informing the mortgage company that the guarantor of the note has passed away disperse the other assets of the estate quick claim deed to brother and hope that the mortgage company does not come after the estate or the executor of the estate for the balance, if the deceased mother in law had no assets but the house mortgage to hilt then you can not get blood out of a stone and no one else would be responsible for her debts