Divorce & Real Estate: If You're Both on the Mortgage Who Gets the House?
I have a friend that is in the process of going through a divorce. Her husband wants the house. As far as she's concerned he can have it. She only wants him to refinance so that the mortgage in his name only. He cannot qualify for a mortgage right now, so she thinks the house should be sold. Pretty simple, right?
Apparently it doesn't work that way. He doesn't want to sell. And my friend's lawyer insists that no judge (in Connecticut at least) will force anyone to sell (and suffer a loss) in the current market. That means she is supposed to leave the house to her husband, yet still be obligated to pay the mortgage if he defaults.
This insanity goes beyond my comprehension. Here in The Rain I've heard agents speak of situations like this. I would love to know how other couples, agents, lawyers, etc., are dealing with it. How do couples resist the temptation to dig in their heels and refuse to leave the house as long as they're both still named on the mortgage? And is either party even obligated to leave?
Do you know of anyone who has been successful working around a situation like this? If so how was it done? I'm looking forward to lots of feedback!