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Does spouse retain possession of foreclosed tenancy by the entirety property if not on mortgage?
Wiki User
∙ 14y ago
You have asked an interesting question and the answer depends on the law in your state and whether your tenancy by the entirety predates the mortgage. The answer is generally yes, depending on the laws in your state.
In Massachusetts and New York there is nothing in the law to prevent one tenant by the entirety from executing a mortgage. However, if the mortgage is foreclosed the bank would only acquire the interest of the one tenant who executed the mortgage. The survivorship rights of the other tenant cannot be severed.
Therefore, a peculiar situation would arise: The bank would take the place of the mortgagor in the tenancy by the entirety. Let's say the husband executed the mortgage and then defaulted. The bank would acquire the husband's interest in the property subject to the wife's interest and to her right of survivorship. The bank and the wife would become co-owners. That means if the husband dies, the wife gets the property free and clear of the bank's interest since the bank is standing in for the husband in the tenancy by the entirety. If the wife dies the bank gets the property free and clear of any other interests. Practically speaking, this is not a profitable position for the bank.
Some states prohibit one tenant by the entirety from conveying their interest and a mortgage by one may be invalid. You need to speak with an attorney in your state who specializes in real estate law.
This is a misunderstood situation and many mortgagees (lenders) have been careless about errors in their mortgages over the past few years.
Wiki User
∙ 14y ago
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When a second mortgage is in foreclosure does the first mortgage show as a foreclosure?
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Can a home be foreclosed if someone stops making payments on a second trust deed?
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If you are a co-owner of real property did not sign the mortgage and it's foreclosed can you be held responsible for a deficiency judgment?
If you did not sign the mortgage then you have no obligations relating to it. You are not responsible for any deficiency. If you owned the property at the time the mortgage was executed by a co-owner, the lender cannot foreclose on your interest at all. If you received your interest by deed after the mortgage was executed the lender can take possession of the property and you will be dispossessed of your interest.
Who is responsible for my deceased 51-year old son's mortgage on his home?
The estate is responsible for the mortgage. However, if the mortgage isn't paid the bank will take possession of the property by foreclosure.The estate is responsible for the mortgage. However, if the mortgage isn't paid the bank will take possession of the property by foreclosure.The estate is responsible for the mortgage. However, if the mortgage isn't paid the bank will take possession of the property by foreclosure.The estate is responsible for the mortgage. However, if the mortgage isn't paid the bank will take possession of the property by foreclosure.
Can a deed be transferred to administrator of estate when a mortgage exists?
The estate must be probated. The property can be transferred with court approval but it is subject to the mortgage. If the mortgage isn't paid the lender will take possession of the property by foreclosure.The estate must be probated. The property can be transferred with court approval but it is subject to the mortgage. If the mortgage isn't paid the lender will take possession of the property by foreclosure.The estate must be probated. The property can be transferred with court approval but it is subject to the mortgage. If the mortgage isn't paid the lender will take possession of the property by foreclosure.The estate must be probated. The property can be transferred with court approval but it is subject to the mortgage. If the mortgage isn't paid the lender will take possession of the property by foreclosure.
What happens to second mortgage if first mortgage is foreclosed?
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What happens if you can't pay your second mortgage?
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Can one person remortgage when two people are on the deed?
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What do you do if you inherit a reverse mortgage?
If you inherit property that is subject to a reverse mortgage you must make arrangements with the bank to pay off the mortgage if you want to keep the property. If not then the bank will take possession of the property under the terms of the reverse mortgage.If you inherit property that is subject to a reverse mortgage you must make arrangements with the bank to pay off the mortgage if you want to keep the property. If not then the bank will take possession of the property under the terms of the reverse mortgage.If you inherit property that is subject to a reverse mortgage you must make arrangements with the bank to pay off the mortgage if you want to keep the property. If not then the bank will take possession of the property under the terms of the reverse mortgage.If you inherit property that is subject to a reverse mortgage you must make arrangements with the bank to pay off the mortgage if you want to keep the property. If not then the bank will take possession of the property under the terms of the reverse mortgage.
Can a house be foreclosed on in a person's name who is not on mortgage but property is quick claimed to them and they quick claim property back into estate of deceased person name before foreclosure?
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Can spouse refinance home in his name only?
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