Co borrower on mortgage refuses to pay half of payment, how can I avoid foreclosure? I’m in house, ex is out.?
by admin on Friday, September 3rd, 2010 | 4 Comments
He moved out when we separated and had been making half of the payment. Can I refinance, borrow enough to pay him off his half and get him off the loan? I don’t want to sell and move.
Ex? Husband or just boyfriend. If boyfriend, then you much less rights – reason you don’t buy real estate with "friends".
If ex husband, then the courts will decide what happens to the house and if he continues to pay.
Either way, I would try to refin and get him off the mortgage and deed. You can tell him that it will protect him if you default. However, I’m guessing you will have to pay him off.
you cannot force him, but if you are foreclosed, the lawsuit will include him also. Does he know that? If you have good credit, you can refinance in your own name, provided he deeded his interest over to you.
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Depends on your lender. 2 sources of collateral are better than one. If you can prove that you can "carry the load" then the lender shouldn’t have a problem with you assuming the loan responsibility. Of course, this will probably cost you fees and possibly a new rate if they need to restructure the loan under new terms.
If you are facing foreclosure because he didn’t pay, don’t assume all of the responsibility if he shares some. He is just as responsible for that mortgage as you are, regardless of who "lives" in the house. Depending on your income statuses when you divorce a court can even order him to assume all the responsibility of the mortgage if he was the primary earner. You can also sue for the back payments from him, but you need to consider whether he can pay it or not. Theres no sense in paying an attorney to chase an empty wallet.
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Ex? Husband or just boyfriend. If boyfriend, then you much less rights – reason you don’t buy real estate with "friends".
If ex husband, then the courts will decide what happens to the house and if he continues to pay.
Either way, I would try to refin and get him off the mortgage and deed. You can tell him that it will protect him if you default. However, I’m guessing you will have to pay him off.
References :
You haven’t provided enough information to answer this well but I’ll give it a shot. If your ex is still on the deed you’re basically out of luck because you won’t be able to sell, refinance or do anything without his consent. You mentioned borrowing enough to pay him off and get him off the loan. If you do that without also getting off the deed you’d be throwing your money away because he’d still own the property.
Unless the ex agrees to quit claim his share of ownership to you, these things take a court order to straighten out. Whether you are married or not doesn’t really make any difference. If you own real estate together it usually takes a court order to settle things.
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