Paying Mortgage on Deceased's Home

[padrespatti]

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

I am the executor and sole benefactor of my deceased friend's estate. Upon completion of probate, my attorney says the house will be transferred into my name. I currently pay the mortgage from estate funds. Upon completion probate, I will continue to make payments from my inherited funds or from renter income. However, I am not employed.

I assume the mortgage company will know of the transfer of liability. I am concerned that I will not be able to qualify for a new loan due to my unemployment. However, I can afford to pay the house payments from funds I receive from probate...at least for awhile. Can they repossess the house due to my lack of qualification despite my continuing to make the payments on-time ?

If so, what can I do to protect the equity ?

Thank you,
Patti

 

[justalayman]

=padrespatti;2059511]
I assume the mortgage company will know of the transfer of liability.

very likely

I am concerned that I will not be able to qualify for a new loan due to my unemployment.

then why not look for employment?

Can they repossess the house due to my lack of qualification despite my continuing to make the payments on-time ?

They will not repossess because they do not nor never did possess the house. They own the mortgage so they will utilize the due on sale clause and call for full payment of the mortgage. What you do then is up to you. If you cannot repay the mortgage loan or work out a deal with the bank (doesn't sound likely but who knows these days), the bank will forclose and gain ownership of the home.

If so, what can I do to protect the equity ?

sell the house; talk with the bank about options; keep probate open as long as possible to stall for time while you get employed