Value of marital home depreciated, now what?

[janelc]

What is the name of your state (only U.S. law)? Michigan
I divorced in April 2007. At the time, we both agreed my ex-husband would be paid the equity in the home when our child turned 18 or graduated from High School. He never signed a Quit Claim Deed, so my ex is still on the mortgage. My son is 17, so I decided to try and refinance so I can pay off my ex, interest rates our low and (didn't realize at the time, my ex added to the divorce decree I have to pay him 3.5% interest on the total amt. owed yearly until I pay him off.)
My house was appraised last week $72,000 less that what it was appraised at the time of the divorce. I can't even borrow enough money to give him even half of what I owe him.
Can I get family court to adjust this due to the market? Is this a losing battle and a waste of court fees?
I would love to get some opinions, Thanks

[LdiJ]

Originally Posted by janelc

What is the name of your state (only U.S. law)? Michigan
I divorced in April 2007. At the time, we both agreed my ex-husband would be paid the equity in the home when our child turned 18 or graduated from High School. He never signed a Quit Claim Deed, so my ex is still on the mortgage. My son is 17, so I decided to try and refinance so I can pay off my ex, interest rates our low and (didn't realize at the time, my ex added to the divorce decree I have to pay him 3.5% interest on the total amt. owed yearly until I pay him off.)
My house was appraised last week $72,000 less that what it was appraised at the time of the divorce. I can't even borrow enough money to give him even half of what I owe him.
Can I get family court to adjust this due to the market? Is this a losing battle and a waste of court fees?
I would love to get some opinions, Thanks

Based on the current market situation it does not surprise me that your home is appraising at significantly less than it was appraising at in early 2007.

I would get a consult with a local attorney (I am not suggesting that you necessarily need to hire one at this point, just consult with one) to go over your divorce decree and to see if you have any options.

[nextwife]

If it were now worth $50,000 MORE than it was at divorce, how much would you believe you should pay him? The amount in the divorce agreement, or the newer value?

[HappyWanderer]

Nextwife makes a lot of sense. The market could have gone up or it could have gone down. It seems most fair to use the equity amount as of the date of the decree.