When one of them die, does the mortgage become due for total pay-off of loan ???

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
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bluegill
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Joined: Thu Oct 04, 2018 11:15 am

When one of them die, does the mortgage become due for total pay-off of loan ???

Post by bluegill » Wed Jul 31, 2019 4:40 pm

Suppose a house is owned JTWROS between man and wife.
When one of them die, does the mortgage become due for total pay-off of loan ???

jdb
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Joined: Wed Dec 05, 2012 8:21 pm

Re: When one of them die, does the mortgage become due for total pay-off of loan ???

Post by jdb » Wed Jul 31, 2019 4:50 pm

Depends on the terms of the specific mortgage whether death of one of joint obligors is event of default.

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Meaty
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Re: When one of them die, does the mortgage become due for total pay-off of loan ???

Post by Meaty » Wed Jul 31, 2019 4:54 pm

bluegill wrote:
Wed Jul 31, 2019 4:40 pm
Suppose a house is owned JTWROS between man and wife.
When one of them die, does the mortgage become due for total pay-off of loan ???
Title is irrelevant to your question. Gram-St Germain Act of 1982 and Dod frank (2010) both require banks to allow spouses, regardless of ability to pay, to assume the loan.
"Discipline equals Freedom" - Jocko Willink

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Meaty
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Location: Texas

Re: When one of them die, does the mortgage become due for total pay-off of loan ???

Post by Meaty » Wed Jul 31, 2019 4:58 pm

Here’s a link to the CFPB interpretive guidance on this issue as well

https://files.consumerfinance.gov/f/201 ... essors.pdf
"Discipline equals Freedom" - Jocko Willink

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