If my husband and I own a piece of rental property, how can I protect myself in the event of foreclosure?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
If my husband and I own a piece of rental property, how can I protect myself in the event of foreclosure?
It has not been rented out yet and is not ready to be rented. However, we are getting behind on the mortgage payments, and I am concerned it will fall into foreclosure. My husband wants to continue to proceed with renting, and I would prefer to sell the property because of its present condition. Would it be a good idea to request having my name taken off of the property, so that if it does go into foreclosure I am not liable? Or am I still liable since it is in my spouse’s name? If I wait, how much time do I have till it is too late to take my name off and to take action? I am trying to protect myself and my children.
Asked on October 6, 2012 under Real Estate Law, Ohio
Answers:
B.H.F., Member, Texas State Bar / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
Transfering the property is not going to help you in this situation. In Ohio, what controls what is considered community property is when the two of you obtained the property. If you purchased the property during the marriage, then it will be considered community property, regardless of whose name is on the title-- and you will both have a financial obligation to the home, until a court says otherwise. The only way to protect yourself is to get him to sell the property, take extra measures to pay the note and avoid foreclosure, or consider filing bankrupty to put a stay on the foreclosure until you both get back on your feet financially. These are some options if you are staying with him. If you are not looking to continue the marriage, then you can file for divorce and request that he be awarded the house and its debt or that the court order it to be sold. Ohio is a community property state, and to a similar extent, a community debt state. Unfortunately, many spouses are stung by the financial decisions of their current and former spouses.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.