quitclaim deed & who's responsible for mortgages?

[troublmaker_98]

there is a property that is financed by my grandmother. there are 3 parties on title (not on mortgage), grandma, my parents and me. i have been discharged from BK for about 8 months. and my BK had no influence on this property since no mortgages were in my name.

now grandma is filing BK and will be including this property to be surrendered. is there any way that my parents will be financially responsible for any part of this property? again the mortgages are in grandma's name only. a quitclaim deed was filed (with all our names) in the event of her death.

any comments or advice will be appreciated.

[FreshLikeADaisy]

Troublmaker98, from what you have said, no, it does not seem like your parents would be responsible for any mortgage debt arising from the surrender of this property in a bk.

However, you should also be aware that most liens survive bk, and if there are any liens on this house now, they need to go ahead and clear those up before they try to transfer the deed in any way, including via quitclaim deed. I'm not saying there are liens -- I have no way of knowing -- but if there are, they need to be dealt with, because those *could* affect your parents financially. Good luck!!!

[HHM]

Other liens are moot, if the grandmother files BK and defaults on the mortgage, the bank will simply foreclose.

[FreshLikeADaisy]

Hrm, I thought... never mind.

Thanks for the correction!!!