USDA Mortgage Removing Name?
Hello,There are two parties on a USDA mortgage. They have gone to court and the judge ordered that one party sign documents to remove themselves as a liable party on the loan. What is the process to get the name off of the loan?On a side note the party that was awarded the home will not be able to afford it and has poor credit and no steady source of income. Also the USDA stated to sign a "Quit Claim Deed" however that removes ownership from the property itself (which is fine) BUT it doesn't remove your name from the loan.Is there something that I am missing? Does anyone know this process or has anyone gone through it?Thank you for your help in advance.@DanB and Real Estate Guy ~ I have worked in the mortgage service industry for the last ten years. There is no way that we are going to sign a Quit Claim Deed. We will most definitely get in contact with our lawyer before that ever happens. It is not my property it is my partner's property. We need to make sure that his bottom feeder ex doesn't put it into foreclosure status. I have never worked with USDA loans but it seems like they are very difficult to work with from what I have observed from others. We are going to call the USDA and ask some questions about the situation and then if they are less than helpful I was thinking about sending a letter explaining the situation to the OCC (Office of the Comptroller of Currency) so we could get a response and then go to our attorney. I just want to get this taken care of as soon as possible then we can move forward with our life. One last thing. He was giving his ex the money to make the payments and she put the house into fforclosure status three times and he bailed it out. Does anyone know if that would assist matters in court? I just wanted to know if the USDA would have any other options outside the other lenders because it is government funded loans.
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