Spouse on deed but not mortgage?

[Diver4242]

Jurisdiction

New Jersey

If both spouses is on the deed for a home/property, and only the husband is on the mortgage, what is the wife's exposure there if the husband dies, becomes disabled, or they get divorced? In NJ I believe one spouse isn't responsible for the debts of the other as long as they haven't signed for the debt. But how does that relate to a secured debt like a home where they're both on the deed?

The problem is they're both in their early 70's, he's racked up a ton of debt (of his own, they have separate finances), is being irresponsible, perhaps dementia onset, had health problems, and may be about to lose his job.

Thanks in advance for any help.

 

[PayrollHRGuy]

You are correct about most debt but she doesn't just keep the house and not pay for it.

 

[army judge]

how does that relate to a secured debt like a home where they're both on the deed?

If a person is on the deed, but not on the hook for the mortgage,
said individual isn't likely to be responsible for the note.

If the lender seeks foreclosure, BOTH parties will eventually be booted.

It might be time for the male to file bankruptcy.

That is a discussion he should have with a bankruptcy attorney to determine IF he would qualify for BK.

 

[zddoodah]

If both spouses is on the deed for a home/property, and only the husband is on the mortgage, what is the wife's exposure there if the husband dies, becomes disabled, or they get divorced?

I'm not sure I understand the question. You want a number?

That said, if the wife is not a party to the mortgage, why would you think she would have any exposure?

Also, there is no "if" when it comes to death.

But how does that relate to a secured debt like a home where they're both on the deed?

Can't fully answer this without knowing a few things (and I'm assuming the mortgage was given to secure a loan, but please say so if it was given to secure some other obligation):

1. How do H & W hold title? As joint tenants? As tenants by the entirety? Something else?
2a. Approximately when was the home acquired?
2b. Was it acquired by H & W at the same time?
2c. When was the mortgage given?
2d. If the property was in both H & W's names at the time of the mortgage, why did the mortgage lender allow only H to be on the mortgage?
2e. If the mortgage was given at a time when the property was only in H's name, did H notify the mortgage lender that W's name was being added to the title?

At a bare minimum, the mortgage lender will retain its secured interest on at least H's interest in the property and, if the loan doesn't get paid as agreed, the lender may foreclose.

The problem is they're both in their early 70's, he's racked up a ton of debt (of his own, they have separate finances), is being irresponsible, perhaps dementia onset, had health problems, and may be about to lose his job.

None of this is really germane to the question about the mortgage, but it sounds like this guy might be a candidate for an adult guardianship/coservatorship.

 

[Diver4242]

So if it's foreclosed on, they can force a sale to get his half of the equity but does she get to keep her half?

 

[justblue]

So if it's foreclosed on, they can force a sale to get his half of the equity but does she get to keep her half?

Huh? No. They can sell the home to pay off the mortgage and what is left over, if anything, would go to the former owner.

 

[zddoodah]

So if it's foreclosed on, they can force a sale to get his half of the equity but does she get to keep her half?

Please answer the questions I asked.