What will happen to this house if I choose to move?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What will happen to this house if I choose to move?
When my parents passed away, their house title was passed to me. The house title only is in my name. However, there is still a mortgage specifically, a line of credit with the house as collateral. The executor has a letter on file with the bank stating that they can speak with me about the loan, since it is still in the estate’s name. The bank did not go after the estate to collect while it was open. I have consistently made payments on the house for the last few years since their deaths and I love the house I am living there with my family now. However, we are looking into building a house closer to my husbands family and eventually move. I was wondering 1 what sort of complications I will have in trying to move regarding my parents house, 2 should I get the house transferred to a mortgage in my name first I have heard that I have a horrible rate on the house and will get a lower rate if I go anywhere else at all, 3 I guess, just what all moving from my parents home to a new home will entail, due to the line of credit that isn’t in my name but owning the title.
Asked on November 26, 2017 under Real Estate Law, Ohio
Answers:
M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
So there are a whole lot of issues going on here and you should really consult with someone face to face once you decide your new path. I can, though, give you some info on the mortgage. If you inherit a house with a mortgage you do NOT have to refinance the mortgage in the decedent's name. The death and subsequent inheritance do not trigger the "due on sale" clause. So you can continue to pay the mortgage until it is paid off. If the house is still in the estate - i.e., if the estate is still open and not closed and no new deed recorded - techinically the estate should be paying the mortgage but since I do not know the finances there or the deals made I can not comment on that. Now, refinancing the house can be an advantage to you to pay a lower rate and lower amount of money or if you want to take equity out. You can not do that if it remains as is. You need to figre out a plan of where you are headed before you decide anything. Perhaps you could rent the house out if you decide to move? Good luck.
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.