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Can You Remove Your Ex from Mortgage in the Orlando, Florida Area?

There was an interesting article in the Orlando Sentinel/Section 4/Saturday June 18, 2022, titled “Homeowner wishes to remove ex from mortgage”. The article was written by Ilyce Glink and Samuel J. Tanking-Tribune Content Agency. This is a frequent scenario that comes up in divorce cases when the parties are deciding what to do with the house; and what will happen to the marital residence. They ponder whether they should sell it, or whether one spouse should  keep it. They want to know what the ramifications are if they sell the house or if they keep it. 

In the article, the author discusses if the ex-spouse signs a quit claim deed, will that remove the other spouse’s name from the mortgage document without refinancing. 

The author then goes on to explain the difference between the promissory note and the mortgage document. The author states that these are two separate things. The promissory note is the obligation to repay the loan. The person that signs the promissory note is the person who had the credit to get the loan and is legally responsible for paying the amount owed. The mortgage document is the document that created the lien against the property. 

The author states that the quit claim deed will only transfer whatever ownership your ex-spouse had in the house to you and nothing more. If your ex-spouse’s name is on the mortgage, their name will remain there until the loan gets paid off or if your lender is willing to release their name from the mortgage. 

The author states that usually the easiest way to get the ex-spouse off the mortgage is to refinance the mortgage. The author states that they understand refinancing may be difficult, especially if you have to qualify for the loan on your own. The author states that refinancing may be costly, especially now that interest rates have jumped so dramatically. 

The author states, if your ex-spouse is not on the promissory note or loan, they have no personal liability when it comes to the loan repayments. The author says that they will likely see little impact by having their name remain on the mortgage. The lender will report on-time payments or late payments only on the name that is listed on the loan. The author states if you make a late payment, your credit will get hurt. Your ex-spouse’s credit should show no impact. 

The author states that you can  call your lender to see if they are willing to issue a release of mortgage for your ex-spouse. However, the authors state that they have not heard of any lender doing that except in a refinance, even if a judge has required it as part of a ruling or divorce decree. 

If you have more questions regarding a Marital and Family Law matter, you may call Ann Marie Giordano Gilden at Ann Marie Giordano Gilden, P.A. at 407-732-7620 and set an initial consultation. You may also visit my website at https://www.annmariegildenlaw.com

**This article is for informational purposes only and does not form an attorney client privilege.**