real estate buy-out

[tom jamison]

illinois>>girl and boyfriend live together and co-own a house, the love affair is over and he has agreed to remove his name from the mortgage if she pays him a fair amount of cash but heres is the problem, he's near bankruptcy and she fears collectors can still come after her assets even after she has paid him the aforementioned cash and have had him removed from the mortgage deed

 

[LdiJ]

illinois>>girl and boyfriend live together and co-own a house, the love affair is over and he has agreed to remove his name from the mortgage if she pays him a fair amount of cash but heres is the problem, he's near bankruptcy and she fears collectors can still come after her assets even after she has paid him the aforementioned cash and have had him removed from the mortgage deed

If there are any liens against the house due to his debts that could be a definite problem. It would be best if she completely refinances the house and goes through a proper closing so that all i's are dotted and t's are crossed, and he is definitely removed from the deed as well as the mortgage.

He would only be due 1/2 of the equity in the property.

 

[justalayman]

illinois>>girl and boyfriend live together and co-own a house, the love affair is over and he has agreed to remove his name from the mortgage if she pays him a fair amount of cash but heres is the problem, he's near bankruptcy and she fears collectors can still come after her assets even after she has paid him the aforementioned cash and have had him removed from the mortgage deed

a little clarity is needed:

mortgage (loan) refers to the money owed for the property

deed refers to a document used to transfer title (ownership rights)




The only way he is being removed from the mortgage (loan) is it get's paid off, refinanced, or the lender agrees to release him from the mortgage.


If you mean title; well, don't do that. Title reflects ownership of the property. It does not release him from owing for the mortgage (loan).

 

[tranquility]

illinois>>girl and boyfriend live together and co-own a house, the love affair is over and he has agreed to remove his name from the mortgage if she pays him a fair amount of cash but heres is the problem, he's near bankruptcy and she fears collectors can still come after her assets even after she has paid him the aforementioned cash and have had him removed from the mortgage deed

He "agrees" to remove his name from the mortgage?

How does one do that?

 

[tom jamison]

If there are any liens against the house due to his debts that could be a definite problem. It would be best if she completely refinances the house and goes through a proper closing so that all i's are dotted and t's are crossed, and he is definitely removed from the deed as well as the mortgage.

He would only be due 1/2 of the equity in the property.

thank you so much

 

[FarmerJ]

Tom if you do not want to be tied to this property any more can she get a new mortgage all on her own in order to satisfy the current one ( buy you out or if you just want to be done then to let her have what ever equity you had in the property ?)