Refinancing's effect on community property
Q: My spouse wishes to refinance our house at a more desirable interest rate, and has asked me to sign a quit-claim deed so that it's entirely in their name. Will this won't affect any future claim I might make to my share of the house?
A: There may not be a large effect. The simple answer is no, but there are possibly some changes to how the distribution of appreciation would be affected. Please visit our web page on real property for more information.
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People Refinance because of Changing Reasons
Contributed by Mabelle
Thursday, 04 May 2006
A large amount of mortgage refinancers have tapped their home equity in exchange of cash in the first quarter of this year. An analysis that was released yesterday said that this quarter has the lasgest proportion compared to any other quarter over the past 15 years.
According to the latest quarterly review of loans owned by Freddie Mac, 88% of the people who refinanced their houses applied for loans that are 5% higher than their original balances. On the other hand, more than 50% took out loans that have higher interest rates than what they previously paid.
Refinancing activity increases as interest rates increase. People refinance to get out og adjustable-rate loans from second or third mortgages and home equity loans. This allows them to switch to fixed-rate loans.
Freddie Mac reported that homeowners have pulled $59.6 billion in equity out of their homes in the first three months. This is lower than the $70.9 billion that was pulled out in 2005's last quarter.
By M. Sese
Real Estate Press
Posted by: Tracy | May 10, 2006 5:50 PM
My friend is going through a divorce that's basically heading nowhere. He owns the house, her name is not on it, and she is still living there. He pays the mortgage, utilities, etc. He has to sell the house now as he cannot afford to pay for it anymore. She refuses to get out. Is that legal?
Posted by: Amy Broman | September 18, 2006 12:53 PM