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| CRE Online > Real Estate Law > Bill Bronchick > Question and Answer |
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Question:
I have a situation which I cannot seem to resolve in a conventional way. My hope is that someone creative can help me. We've asked attorneys in the past, they have not had anything creative to say. This is the issue: My husband bought a house with his ex-wife about 12 years ago in Florida. They divorced, he signed a quit claim deed in 1993, the divorce papers say she is responsible - but his lawyer at the time did not advise him that he would still be on the mortgage/note until the end of time. The ex-wife periodically defaults on the mortgage (30-90 days behind). This appears on my husband's credit, so we get penalized (his credit is perfect except for this, but we have been turned down for credit several times because of it, especially for home loans - we had to purchase our own home on B-C paper in part because of this issue). She has also declared bankruptcy (less than a year ago). So even if she wanted to, she can't refinance. We have tried everything we can think of to get him off the mortgage, or to get the mortgage off his credit. No luck. Mortgage company says "too bad, we're not bound by the divorce papers. We'll continue reporting. Pay us yourself if you don't want negatives on your credit". Credit agency says "if mortgage company won't let you off, we have to report". Lawyers say "we can sue her for damages every time she doesn't pay because she is damaging your credit". We don't see the point of doing this. We can't afford to pay two mortgages right now, especially on a house which will never be ours - if we could find a way, we would (that's how desperate we've become) and put a lien against the property for the full amount we pay - as long as we can force her to sell the house at a later date (after 14-year-old daughter turns 18). Not sure how this works legally. Ex wife is very hostile, any time we tried to work anything out with her, she is negative and refuses to cooperate. She will not sell the house, nor sign any papers if we ask. May do it if forced. Legally, is there any way to get my husband's name off the note; or get the credit agencies to not report it; or as a last resort force her to sell the house? Or can we acquire the note from the mortgage company (Norwest) so the ex-wife pays us directly (as long as she doesn't know it's us)? I appreciate any suggestions. We have hit brick walls when dealing with lawyers, the mortgage company and the ex-wife. Answer By William Bronchick: You and the bank and the credit agencies are correct - your husband is liable all the way and there is little he can do about it. Even if you could sue her for ruining your husband's credit, you could not force a sale of the property because of the Florida homestead protection. You could try opening the divorce proceeding and asking the Judge to force a sale of the property based on exigent circumstances, but it is a stretch. Disclaimer: The foregoing is not intended to be given as legal, financial or tax advice, but intended for instructional use only. If you require legal, financial or tax advice you should seek the assistance of a qualified professional.
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