Originally posted by Mike C:
Danny,
As Scott says, you can’t just get off the mortgage without the other person on the mortgage refinancing the debt on their own, assuming they can qualify for it. If they don’t qualify on their own you can’t get off the mortgage.
You can give up title to the property with just a quit claim deed by one of the owners on title but there is no reason to give up title if you are still on the mortgage. If you did give up title, you would now have no interest in future profits or gains but still are responsible for the debt. Obviously not something many would do. Remember the title and the mortgage instrument are two separate issues to deal with.
I hope this answers your questions.
Mike C
well let's say 2 brothers are on the title because it increases the total capacity to repay. a few years down the line, Brother A feels that Brother B is a risk taker with high exposure to lawsuits for whatever reason, subjecting the assets (title to the house) to risk. Brother B agrees and wants off the title but will continue to help out Brother A by whatever he can to reduce the mortgage balance. How does it pan out then?
