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Can your name be on a mortgage and not on the deed?
Most of the time, the person listed on a property’s mortgage is the same person listed on the property’s title, or deed. Since borrowers who are not on the title deed, are not legal owners of the property, they cannot pledge the property as collateral. Therefore, these borrowers, by default, become guarantors.
How does deed in lieu of foreclosure work?
A deed in lieu means you and your lender reach a mutual understanding that you cannot make your loan payments. The lender agrees to avoid putting you into foreclosure when you hand the property over amicably. In exchange, the lender releases you from your obligations under the mortgage.
What is a loan modification agreement?
When you take a loan modification, you change the terms of your loan directly through your lender. Most lenders agree to modifications only if you’re at immediate risk of foreclosure. A loan modification can also help you change the terms of your loan if your home loan is underwater.
Can a bank foreclose if your name is on the deed?
The lender typically has a lien on the house, meaning that the spouse whose name is on the mortgage does not pay, then the bank can foreclose in order to get their money back. It will not matter if your name is on the deed, since it was added to the deed after the home was mortgaged.
What does it mean to be on the deed but not mortgage?
The deed (you’ll see the word “deed” or “indenture” on the first page at the top) recites who owns the realty. The mortgage or loan recites who is obligated to make the payments. Being on the deed only does not require you to pay the mortgage. Being on the mortgage only does not make you an owner.
What happens when you put two names on a mortgage?
In the event you opt for two names on the title and only one on the mortgage, both of you are owners. The person who signed the mortgage, however, is the one obligated to pay off the loan.
Does it matter if my name is on the deed?
It will not matter if your name is on the deed, since it was added to the deed after the home was mortgaged. Be careful- If a spouse’s name is added to or removed from the deed after the note and mortgage is signed by your spouse, it may trigger a “due on transfer” clause.