| Are you recently divorced and asking this exact | | | | the other party. This way the house doesn't have |
| question? Anyone that has gone through divorce | | | | to be sold and no one has to deal with the lending |
| and decided for one party to keep the house will | | | | company through the proceedings. The bad part |
| most likely be dealing with this issue. Before | | | | is that it can cause the other party to have bad |
| answering this question, let's look at what happens | | | | credit and be attached to the loan when they |
| when interest in property is given to the other | | | | have nothing to do with it. The quit claim deed is |
| party. Normally this is accomplished by one buying | | | | proof to the lending company that the other |
| the other out for their share of assets in the | | | | person had given up the property but that is |
| property. | | | | about all. Most lending companies require you to |
| The buyout can be immediate or written in the | | | | refinance in order to remove your spouses name |
| divorce decree as a payment plan. This can be | | | | off the mortgage. |
| decided civilly between the lawyer and the two | | | | If you cannot qualify for the refinance, then you |
| parties or can be decided by the court. Once the | | | | must sell. Or in many cases nothing is done. This is |
| decision is made and everything has been stated | | | | bad for the other party because they will still be |
| in the paperwork, the lawyer will have a quit claim | | | | attached and it will show on their credit report |
| deed written up, notarized, and signed by the | | | | preventing them from obtaining another house |
| party giving up interest in the property. This is | | | | and possibly other items through finance. In some |
| where it gets interesting. | | | | cases, the lending company may remove the |
| A quit claim deed is a legal document that shows | | | | other party's name as an act of kindness, but this |
| transfer of interest in property from one party to | | | | is very rare. |
| another. This deed does not remove the other | | | | It is always best to discuss these topics with a |
| party's name off the loan and it does not relieve | | | | lawyer before the paperwork is finalized to avoid |
| them from credit responsibilities if the other party | | | | this type of situation. However, if you are asking |
| does not pay. When going through divorce | | | | this question after the divorce has been finalized, |
| proceedings in Atlanta, definitely discuss options | | | | talk with your lender and see what your options |
| with Atlanta divorce attorneys who are familiar | | | | are. Some loans will let the name be removed |
| with Atlanta family law to see what the best | | | | simply by showing the lender the quit claim deed. |
| options are for your situation. | | | | Most first time home buyers loan require a |
| What purpose does the quit claim deed serve and | | | | refinance. If you do not qualify for refinancing, ask |
| why do lawyers recommend it? It's the easiest | | | | your lender if there are any other options or |
| and fastest way to hand over the property to | | | | ways to take care of the problem. |