Often times, the marital home is the most significant assets to be divided in a divorce. The vast majority of spouses are listed as owners on the deed and joint mortgagors on the mortgage and note which financed the marital home’s purchase. If one spouse is to continue to reside in the property and possess the home after the divorce is final, it makes sense that the person giving up ownership will want to have his or her name removed from the loan or mortgage agreement. If the spouse waiving his or her interest can be removed from the Mortgage and Note connected with the marital home, he or she cannot be held responsible if mortgage payments are not being made. If a divorce is finalized without the non-possessing spouse being removed from the note, he or she may be held financially responsible for comply with the terms of the loan although his or her spouse received possession and ownership of the former marital residence.
A divorce judge does not have authority to modify the terms of a loan. However he or she can order the spouse retaining the property to refinance the loan. For your former spouse to refinance the house or obtain a loan modification in his or her name, the bank would need to verify income, equity and various other factors just as if he or she were qualifying for a new loan. Having your name left on a loan or mortgage agreement for a property that is no longer in your possession, and which was turned over to your ex-spouse during divorce proceedings, could leave you in a risky financial and legal position..
I work to advocate a position which places clients in a good position coming out of a divorce. I am well-versed concerning how property division is handled in Florida and we will work to defend your interests and help you avoid any and all unnecessary financial risks associated with your divorce. Contact a Fort Lauderdale divorce lawyer at Darren K. Edwards, P.A. at once so that we can get started on helping you obtain the outcome you seek.
