Many yrs ago, my wife’s mom (we will call her “M”, 55 yrs old) and her b/f (called “J”, 58 yrs old) dated & lived together in VA. They both bought the house together & split the mortgage. Both have credit scores around 550.
They’ve been broken up for several years. M had moved to GA while J stayed at the house. M wanted to sell the house when they broke up but J wanted to stay & said he would make payments. Now J has fallen close to $7,000 behind in mortgage payments but both are liable since they both signed. The house is probably going to foreclosure.
Questions:
1. How can M get out of this? J won’t refinance or sell the house.
2. J never wants to buy another place & will rent for the rest of her life. If M files for chapter 7 bankruptcy, will she be able to keep her car & alimony she’s getting from former husband?
3. If the house goes into foreclosure & sells for many more thousands less, then both will still be liable for coming up with the difference?
I mistook an M for a J in #2. It should read….If "J" files for chapter…
since she owns te home jointly she can put it up for sale today. he will have to sign if it sells. if she files a bk 7 and the house forecloses j will have to pay the balance off. If both file a bk7 then both may get hit for 1099 for unpaid balance is it sell for less than owed
August 29th, 2010 at 10:19 pm
since she owns te home jointly she can put it up for sale today. he will have to sign if it sells. if she files a bk 7 and the house forecloses j will have to pay the balance off. If both file a bk7 then both may get hit for 1099 for unpaid balance is it sell for less than owed
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