My ex is solely liable for the mortgage on our house

[zeebra]

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

I have my Judgement & Decree, signed 12/29/06, which states that my ex is solely liable for the mortgage on our house & that I will be held "harmless from any liability or obligation to make any payment whatsoever regarding said homestead." The next paragraph refers to "the conditions upon which Petioner's (my) lien created herein shall mature shall be as follows:" (4) Homestead is refinanced. My ex was 5 months in arrears on the mortgage pymts & has been working with Wells Fargo to remodel the original mortgage so that she can afford the payments. I have been requested to sign the "new mortgage" as my name is on the old one as well as the homestead. My concern is that if I sign the new agreement, will the conditions of my Judgement & decree be null & void? I am being asked to do this within 2 days.

[nextwife]

Originally Posted by zeebra

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

I have my Judgement & Decree, signed 12/29/06, which states that my ex is solely liable for the mortgage on our house & that I will be held "harmless from any liability or obligation to make any payment whatsoever regarding said homestead." The next paragraph refers to "the conditions upon which Petioner's (my) lien created herein shall mature shall be as follows:" (4) Homestead is refinanced. My ex was 5 months in arrears on the mortgage pymts & has been working with Wells Fargo to remodel the original mortgage so that she can afford the payments. I have been requested to sign the "new mortgage" as my name is on the old one as well as the homestead. My concern is that if I sign the new agreement, will the conditions of my Judgement & decree be null & void? I am being asked to do this within 2 days.

Actually, the truth is that as a signatory on the mortgage that mortgage holder would have the right to hold you equally liable NOW, even with that language. The decree language only applies to you and ex. The lender agreed to give the loan to you both and is NOT a party to that agreement.

If you are co-owner to the home, no refinance can take place unless you either enter in or be removed from title. No lender will do a mortgage in which all owners do not sign.

[zeebra]

What recourse do I have? Her 5 months of default has cost me my only two credit cards. I have no other debts.

[nextwife]

Are you on title? Or just the mortgage? If just the mortgage, you do NOT have to sign the new mortgage for it to be valid.

[zeebra]

I am on the title as well as the old mortgage.

[LdiJ]

Originally Posted by zeebra

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

I have my Judgement & Decree, signed 12/29/06, which states that my ex is solely liable for the mortgage on our house & that I will be held "harmless from any liability or obligation to make any payment whatsoever regarding said homestead." The next paragraph refers to "the conditions upon which Petioner's (my) lien created herein shall mature shall be as follows:" (4) Homestead is refinanced. My ex was 5 months in arrears on the mortgage pymts & has been working with Wells Fargo to remodel the original mortgage so that she can afford the payments. I have been requested to sign the "new mortgage" as my name is on the old one as well as the homestead. My concern is that if I sign the new agreement, will the conditions of my Judgement & decree be null & void? I am being asked to do this within 2 days.

That clause in your mortgage does not absolve you from the mortgage debt (as you were already told) it basically allows you to sue her for damages if she doesn't pay the mortgage.

If the mortgage is 5 months behind (unless she was unemployed for a while and is now employed) I don't see how a restructured mortgage is going to help her.

However, the bottom line is that if you don't sign, there is going to be a foreclosure and that is going to hurt your credit, badly. If you do sign, you are going to be on the hook for the restructured mortgage and if she cannot pay it, and falls behind again, then again your credit is going to be further damaged.

You are almost in a no win situation if you handle things in a "standard" manner.

How much is the mortgage? (or rather, how much will it be if its restructured?) Do you pay child support? How much is your child support?

If it were me, I would be insisting on seeing her overall budget and trying to find a way to protect myself, credit wise. For example, I might take out a loan on my 401k to bring the mortgage current, and then insist that the house be sold (and try to recoup my 401k loan from the proceeds of the sale). Or take out a loan somewhere to bring the mortgage current and then insist that instead of paying child support, I paid the mortgage payment directly to the lender in the future (would have to be handled correctly, legally) and with a proviso that as soon as she was able to refinance that you would recoup the loan amount.

There ARE things that can be done to protect your credit if you have any leeway in your budget at all, or means to come up with the 5 months of payments.

Otherwise, you are going to have to choose between the immediate damage of a foreclosure, or the long term damage of having your credit tied up.

[nextwife]

Does she owe you money on the house? If not, simultaneously through the closing provide the title company a quit claim to be recorded ONLY if the house is successfully refinanced without you..