Crazy situation

[Bloodoak]

Jurisdiction

Tennessee

Mother in law divorced a man who had a home loan in his name only. He didn't want the house, so she kept it and says the deed is in her name. She kept paying for it. No problem.

She now wants to sell it to me. I cannot get financed right now, so what happens if he dies? Can the deed and the loan have different names? Can she legally have a lease to own contract with me?

 

[army judge]

I wouldn't get into any deal, such as the one you describe.
You don't enter into real estate transaction, like some people buy an old lawn mower, based solely upon the representation of the seller.

Don't ask why.
Don't wonder how.
Don't accept her representations as truths.

Do politely walk away from this SCAM.

 

[Michael Wechsler]

Mother in law divorced a man who had a home loan in his name only. He didn't want the house, so she kept it and says the deed is in her name. She kept paying for it. No problem.

And the home loan is not secured by the home? I wouldn't believe it until after performing a lien search.

She now wants to sell it to me. I cannot get financed right now, so what happens if he dies? Can the deed and the loan have different names? Can she legally have a lease to own contract with me?

The home loan and the deed can have different names. But unless circumstances are different than the usual course of events, I wouldn't believe it. As I've said, have a lien search performed. Any reputable attorney would order one including a title search. You can certainly lease the home but if there is a lien you can still purchase the home - but you'd also likely be responsible to pay off the obligations if they are still outstanding. And something seems to be missing. Why would the ex-husband continue to make good on a loan for an asset he supposedly doesn't want? I wouldn't get too excited yet. Retain a real estate attorney.

 

[adjusterjack]

says the deed is in her name.

That's easy to verify. Just look up the property's deed in the county recorder or land office records.

She now wants to sell it to me. I cannot get financed right now,

Then don't buy it.

what happens if he dies?

Whoever wants to keep the house will have to keep paying the mortgage or eventually get a mortgage in his or her own name.

If he dies and nobody pays on the loan the mortgage company will foreclose.

Can the deed and the loan have different names?

Yes. For a while. But a "sale" of the property will activate the "due on sale" provision of the mortgage and the mortgage company will want the entire balance or it will take the house.

Can she legally have a lease to own contract with me?

Sure. There's nothing illegal about a lease to own contract.

The important question is: Is it smart for you to do it. The answer to that question is "no." It would be incredibly stupid. You ought to be able to find enough tales of woe on the internet to convince you of that.

 

[Michael Wechsler]

The important question is: Is it smart for you to do it. The answer to that question is "no." It would be incredibly stupid. You ought to be able to find enough tales of woe on the internet to convince you of that.

Or just perform a search here. There are probably at least a dozen disputes involving trailers and mobile homes on this site alone. Windfalls rarely occur and are even more unlikely when it involves someone being extremely generous without any ostensible reason. Must ask questions.