FINANCIAL ISSUES - MARITAL PROPERTY V. SEPARATE PROPERTY
We are divorcing after 20 years. He is unemployed but looking. We have enough money and he wants to buy me out of my portion of the house, Since he is unemployed, he won't qualify for his own financing. I don't want to force him on the street. He wants me to leave everything as is and to file a quit claim deed. My name is still on the mortgage. If he pays me off, and I file quit claim deed on our house, In the event that he is late on a payment and begins to ruin my credit rating can I still force him to sell or do anything legally that would get my name off the mortgage?
As long as you remain on the mortgage you'll be liable for the payments that are due
even if you quitclaim your interest to your spouse. Before transferring your interest in the property you must arrange with the bank to be removed from the mortgage. He could theoretically take on a second mortgage which would encumber the property even further and drain out any equity that remains in it.
Do not allow yourself to be exposed to this potential, financial
threat which could possibly arise long after the divorce papers are filed.
I strongly suggest that you retain an experienced, lawyer- mediator in this matter
to help you both work out a solution that will protect your interests as well as provide you both with
a solution to your problem.
If you located in the New York City metropolitan area please call late at 212-370-1660 to arrange to me to discuss this matter had greater length.
Leonard M. Weiner, Esq./Divorce Solutions