Expert: Dick Dennis - 8/28/2006

Question
My husband and I are getting a divorce and the one good thing about it is that we're doing it amicably.  I am keeping the house.  Question is how do we do it?

Divorce papers say the house is awarded to me, but the divorce isn't final yet.  No one is contesting anything.  I won't owe him any money for the house or his share of the equity.  Do we wait till after it's final?  Does we use a quit claim deed?  Can we do this ourselves?  Once I have the quit claim deed what do I do?  Will I have to refinance in order to get his name off the loan?  Will my mortgage payments or interest rate change since my credit score isn't as high as his?  Will his credit or anything still be attached to the house in any way and be in jeopardy, even if I don't have to refinance?  Is this going to cost anything, a little bit, thousands?  My husband and I have no idea how to proceed with this or who to ask about it but we want to do it right.  

Answer
Everything you asked, Kathy, could/should be answered by your attorneys. Most attorneys know absolutely nothing about real estate (they have to go consult their library). But I would think a divorce attorney who certainly must be used to dividing assets including real estate, should be able to answer the questions you asked of me.

I will answer any real estate questions: Yes, you may go to a title company to help you fill out and RECORD the quit claim deed. I recommend it be done that way, not by yourself. You may then get a lender to refi the property for you, thus taking your ex off title. Chances are your interest rate will indeed change since you most likely have a lower interest rate than what is available today. Once your ex is off title and off the loan, he will not longer be in jeopardy their responsibility. Making a new loan will cost but the cost may be included as part of the entire loan. Until you have refinanced your husband off the loan, he will be co-responsible as before.

I do wish you well.

Dick Dennis                dixiedee13@aol.com