home equity issue

[1ohiofather]

What is the name of your state (only U.S. law)? Ohio

Purchased a new home in 2007 with a girlfriend who left after two months. She refused to sign a quit claim deed and not allowing me to refinance. Soon she filed to claim equity. I put my own 25,000 down and borrowed another 25,000 from my family to combine a 50,000 down payment. She made no contribution. I have been making full payments the whole time. My attorney has filed for a partition coming this September trial date. What will the partition do?

Can I sue her for half the mortgage and half the loss in home value. My home is now worth minimum 40,000 less than purchase price.

Is my down payment part of the equity?

We were not married.

This is a mess, please help with some guidance.

Its been going on so long and its very frustrating.

 

[ninalou]

Do you have documentation or any kind of back up that you were responsible for the down payments & every mortgage payment since? In the mortgage agreement, did she sign along with you meaning she would be equally responsible?

If she signed the mortgage, then technically she is entitled to any equity in the home. On those same lines however, if she hasn't been paying, then she is in violation of the mortgage contract.

I would contact an attorney. Good luck!

 

[JETX]

What will the partition do?

The court can make the decision as to ownership... either outright or partial. Though unlikely in your case (based on your post and the short duration of her 'presence', it could order the property sold with a distribution of the profits or liability.

Can I sue her for half the mortgage and half the loss in home value. My home is now worth minimum 40,000 less than purchase price.

You can sue almost anyone over almost anything.... but you can't have it both ways. In order for her to liable for mortgage and/or loss, you would have to acknowledge her partial ownership. Not a good idea.

Is my down payment part of the equity?

Yes. In real estate, equity it is the difference between what a property is worth and what the owner owes against that property (i.e. the difference between the house value and the remaining mortgage or loan payments on a house).

We were not married.

Isn't it grand when otherwise reasonable adults decide to 'play house'??

 

[1ohiofather]

Do you have documentation or any kind of back up that you were responsible for the down payments & every mortgage payment since? In the mortgage agreement, did she sign along with you meaning she would be equally responsible?

If she signed the mortgage, then technically she is entitled to any equity in the home. On those same lines however, if she hasn't been paying, then she is in violation of the mortgage contract.

I would contact an attorney. Good luck!

I have full documents, checks, and bank withdrawals. There is no agreement we split the payments. I have a history of bank statements showing we use to split the rent at an apartment. Lender does not care who pays as long as someone pays in full.

 

[Rexlan]

If it is worth $40K less than you paid how do you figure you have any equity????

The partition suit will allow either party to sell their interest or get one party off the title assuming you are Tennant's in Common and not Joint Tennant's

Why should she let you off the hook .... it doesn't matter what you paid or did not pay or your receipts. You gave her half of the property as a gift right or in trade.

 

[JETX]

If she signed the mortgage, then technically she is entitled to any equity in the home.

Nice GUESS.... but NOT correct.

Mortgage obligation has NOTHING to do with OWNERSHIP.

On those same lines however, if she hasn't been paying, then she is in violation of the mortgage contract.

Again, nice GUESS.... but also not correct.

A mortgage 'contract' does not specify percentage of obligation to each signer. The mortgage company simply doesn't care which party pays... as long as full payment is made as agreed.