CA-spouse borrow against a home owned jointly without the other spouse's permission?

[kauai12]

What is the name of your state (only U.S. law)? CA

My husband & I are buying a home together. Can one of us borrow against the home ( home equity loan or other loan using the house as collateral) without the other one's knowledge and approval?

Do I need to have special language added to the purchase contract so this can't happen?

 

[FlyingRon]

The purchase contract is between you and the sellers, not between you and your wife.

A co-owner can certainly encumber the property without the consent of the other although most banks will be rather squeamish about using a jointly owned property as security without all the owners signing.

If you are concerned that this is a possibility, you have bigger issues with your marriage than just the house. What about taxes and other debts?

 

[HomeGuru]

What is the name of your state (only U.S. law)? CA

My husband & I are buying a home together. Can one of us borrow against the home ( home equity loan or other loan using the house as collateral) without the other one's knowledge and approval?

Do I need to have special language added to the purchase contract so this can't happen?

**A: the answer is no and no.