QUESTION
How will the money handling go when my mother closes on her home?
Asked on Aug 01st, 2013 on Estate Planning - Washington
More details to this question:
My mother was awarded the house in my parents’ divorce, the mortgage and title companies have copies of the divorce decree, but my father will not release his name from the mortgage or the title. My mother’s name is not on either and she cannot call to inquire about the mortgage. The house has sold for more than the mortgage payout. How will the money be handled at closing in 8 days? Will buyer send the money to the mortgage company? Or directly to my mother do she can payout the loan?
12 ANSWERS
Bankruptcy Attorney serving Florissant, MO
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Law Offices of Thomas Corcoran Phipps
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At the closing, the title company should have a closing statement. They will pay off the mortgage and provide a check to your mother.
Answered on Aug 19th, 2013 at 7:25 PM
Trusts & Estates Attorney serving Camarillo, CA
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Law Offices of Larry Webb
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Buyer will pay the Escrow company, then Escrow should pay off the mortgage and persons entitled to the proceeds.
Answered on Aug 09th, 2013 at 10:21 PM
3 Awards
Hard to say. Your mom should call her divorce attorney, ask to see the settlement statement and possibly record a certified copy of the decree giving the home to your mom.
Answered on Aug 09th, 2013 at 10:21 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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The remittance of the mortgage balance should be direct. Get counsel, you may need an order to compel to force your father to cooperate.
Answered on Aug 09th, 2013 at 10:21 PM
Contact your mother's divorce attorney so that he or she can make sure your mother will get the money form the sale of the house. Or put the title company and everyone else on notice that the money should be paid to your mother.
Answered on Aug 09th, 2013 at 10:21 PM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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The money will go to an escrow company who will make sure all of the interested parties get paid appropriately.
Answered on Aug 09th, 2013 at 10:20 PM
Thomas Edward Gates
The closing company holds back moneys to payoff all outstanding liens and costs. The excess is given to the seller.
Answered on Aug 09th, 2013 at 10:20 PM
You will need to work with the title company handling the escrow to insure that the money is held until it goes to the correct person. You may need to get an additional court order to be able to close the sale.
Answered on Aug 09th, 2013 at 10:20 PM
Petition the divorce court to direct your father to sign the documents.
Answered on Aug 09th, 2013 at 10:20 PM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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The title company would send the money to the mortgage company. What happens with the excess is the bigger question, however. Unless your mother can prove she is entitled to the funds, then they would be paid to your father. If he refuses to sign the deed over to the new purchaser, it could mess up the whole deal. I would get the divorce attorneys involved in this to make sure the deal is not lost.
Answered on Aug 09th, 2013 at 10:20 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Mother needs to see an attorney right now to enforce her decree, tell the attorney to obtain a certified copy of the decree, and record with the county recorder immediately, so as to put a lien on the title, plus maybe obtain an order stopping the sale ant to compel title company to distribute mother the funds from the sale.
Answered on Aug 09th, 2013 at 10:20 PM
2 Awards
The money will be handled through an escrow. It will not go to your mother, just any overage. I would be concerned that they might give it to your father since he is the record owner. I would make sure the real estate agent, escrow and title have a copy of that divorce decree and be very careful to make sure your mom gets the amount over the pay off, not your dad.
Answered on Aug 09th, 2013 at 10:20 PM