i own 1/6 of my mom's house - but i'm not on the paperwork

[norcalsurfer]

through my parent's divorce, it was decided my brother and i would each own 1/6 of my mom's house, and she would hold the remaining 2/3. this is in writing drawn up by her lawyer, and i imagine public record.

i'm not on the loan or any paperwork besides her divorce papers.

i am planning on filing bk within a year. how will this look, and what will happen when the credit card companies find this asset?

thanks!

[JRScott]

The Divorce Proceedings would be public record.

This is something you'll have to tell your lawyer. Make sure to have a copy of the decree. Get a current appraisal of your mother's home (yes you need to tell her and your brother).

Then take what is owed on the house subtract from appraisal and divide by 6. That's what you need to be able to exempt or be able to pay the trustee an amount he sets.

However listen to the lawyer on what he suggests. But get the above info just in case.

[Flamingo]

Divorce proceedings can only divide the property between the husband and wife; the wife (your mother) would have to, by will, indicate that she wants that (her) property to go in certain portions to her heirs. In order for you to own 1/6 of the property, it would have to be deeded to you, your brother and your mother and on file at the Recorder of Deeds. If it is just on her divorce papers, it doesn't mean a thing as you don't legally own the property unless there is a deed on file with your name. Make sure you bring all this up with the attorney you speak with because from what you are posting, there is no property yet in your name.

[norcalsurfer]

how would i find out about this deed on file?

i am starting to coordinate a bk with my attorney. my case is really involved since it involves a failed business, a lawsuit, and a current appeal.

i borrowed money from the house via a heloc in my mom's name. my attorney thinks, since i own 1/6, the best option is for my mom to buy me out of my 1/6 and pay it toward the debt. this would free me of my portion of the ownership. he wants me to get her to a different lawyer and draw up the paperwork.

does that sound like a good plan? obviously, i don't want my mom to come out of her pocket at all. so the deed deal sounds like a good idea.

thanks!

[Flamingo]

how would i find out about this deed on file?

i am starting to coordinate a bk with my attorney. my case is really involved since it involves a failed business, a lawsuit, and a current appeal.

i borrowed money from the house via a heloc in my mom's name. my attorney thinks, since i own 1/6, the best option is for my mom to buy me out of my 1/6 and pay it toward the debt. this would free me of my portion of the ownership. he wants me to get her to a different lawyer and draw up the paperwork.

does that sound like a good plan? obviously, i don't want my mom to come out of her pocket at all. so the deed deal sounds like a good idea.

thanks!

I am going by what you are posting on here. Is your name is on the deed to the property? If not, it was your mother who borrowed money on the house not you. Ask your mother specifically if a deed to the property was drawn up in her name, your name and your brother's name after the divorce. If it was not, you have no heloc - your mother does (under her name) but you would owe her the money. Now if there is no deed and one is drawn up prior to your BK, your 1/6 of the house would be an asset but that still does not take away the heloc in your mother's name. You bet this is complicated as you say. Be careful what you do here, find out if there is or is not a deed with your name on it and I would look into getting another BK consultation if this attorney did not attempt to find out if there was a deed on file with your name if after all you posted on here is correct and I am understanding what you are posting.

[norcalsurfer]

i do not believe there is a deed in my name. i'm pretty sure my name only comes up in the divorce papers.

my attorney is saying that even an interest in a house is bad for me. they can put a lien on the home. is this not true?

[Flamingo]

i do not believe there is a deed in my name. i'm pretty sure my name only comes up in the divorce papers.

my attorney is saying that even an interest in a house is bad for me. they can put a lien on the home. is this not true?

The only way you could have an interest in the house is if your name is on the Deed to the property (owner or one of the owners) or you are in your parents' or someone elses' will leaving you property upon their death but that event would have to take place in order for you to obtain ownership. So if the property were in your name you would have an interest and a lien could be put against the property. However, if the property is also in others' names besides yours (multiple names on the Deed), there could be an issue as to placing the lien. You are getting into a complicated situation here and need good legal advice. I suggest that if you are still confused as to this situation, to either sit down and have a good talk with your attorney to go over this matter or obtain other counsel as it appears you are not getting the advice you need for your particular situation. Best of luck to you!

[norcalsurfer]

thanks for your help, flamingo! you've given me a lot to think about. thanks!