Subordinate mortgage

[EburgNaturals]

Washington State

I was sent a document stating that in 2010 my husband of the time took out a 50,000 loan against our marital home. I am still living in the home at the time of the divorce I was given half interest in the house. The house is in escrow now, the title company was the one that sent me the document, the loan is signed by him and notarized. I knew nothing about this loan, it was not disclosed in our bankruptcy, or during the divorce. What are the implications for him?

 

[justalayman]

Is the divorce final? If so,,when did it become final?

 

[EburgNaturals]

The divorce was final in 2014

 

[EburgNaturals]

The primary loan on the marital home was a FHA loan. I am on the deed.

 

[justalayman]

I missed the mention of the bankruptcy.

You need to discuss this with the Bk attorney to determine if if was discharged even if not specificallly listed

Or if not, depending on when the Bk was, can it be reopened to include that debt.


As to implications for your ex: not really sure what you’re asking. If you are asking whose debt this is, it is his but since there is a lien on the property, it won’t matter at the moment because they won’t release the lien without being paid. That’s going to put a hitch in the sale if there isn’t enough equity to pay both loans.


I presume you are having separate checks written to each of you for any proceeds from the sale. If there is enough equity in his half share I would argue the debt for the loan, if it is still valid, should come from his share since he is the lone signer of the loan.

 

[EburgNaturals]

I contacted the bankruptcy lawyer and he sent me our bankruptcy documents, he said it was not disclosed and he knew nothing about it. I was their and I believe him. Bankruptcy was completed 2 yrs ago. There is enough equity to pay both loans. I don't want this coming out of my half. What could be the legal ramification for him. Maybe because it is so fresh, I am angry, but it seems he put myself and our daughter in danger of loosing our home. He lied to the bankruptcy court, my divorce lawyer, and hid assets.

 

[justalayman]

I contacted the bankruptcy lawyer and he sent me our bankruptcy documents, he said it was not disclosed and he knew nothing about it

Did you ask if it was discharged even if not specifically listed? Sometimes a debt that wasn’t listed is still discharged.

Did you ask about reopening the Bk if it wasn’t discharged? I don’t know how long after a Bk is closed it can be reopened.


Yep, he did a lot of bad things. Are you going to give him space in your head rent free?

As to legal ramifications to him: could be a lot of problems if you want to continue with him living in your head.

I don't want this coming out of my half

then make sure whoever is distributing the funds is aware the debt is solely in your ex’s name and none of it should be listed as a debit to your side of the accounting.

 

[EburgNaturals]

Thank you for your reply, I do have a lawyer, but he hasn't been able to reply due to it being a holiday. He was my divorce lawyer also, very respected in our town. You are right , he is in my head, as for legal ramifications, the court will decide. I need to take all emotion out and only give the facts. Thank you for your time. I hope you have a wonderful weekend.

 

[justalayman]

Thanks for the thanks.