Changing Name on Mortgage of Deceased Person?

[croslea]

My father in law died last year. He was long divorced and bought his current house years after his divorce, so his name was the only one on the mortgage. My wife was his only child, sole heir, and executrix. We have kept his house and use it for vacations. We do not rent it out and have no plans to sell it. (We can easily keep up with the mortgage payments and taxes.) My understanding was that the bank has to let us assume the mortgage since we are living in the house.

The bank says they won't change the title unless we refinance, which is expensive and time-consuming. We wouldn't care except the IRS won't let us deduct the interest and property taxes unless it's in my wife's name. I think the bank wrong. Any thoughts?

[cruz50]

The bank does not have to let you assume the mortgage, and if they did, they would still be re-writing it in your wife's name.. They issued a mortgage based on your dad's credit and ability to pay. You have a different situation that may warrant another type of mortgage, especially since it is not a primary residence. Get it refinanced.

[rumford]

The bank does not have to let you assume the mortgage, and if they did, they would still be re-writing it in your wife's name.. They issued a mortgage based on your dad's credit and ability to pay. You have a different situation that may warrant another type of mortgage, especially since it is not a primary residence. Get it refinanced.

"My understanding was that the bank has to let us assume the mortgage since we are living in the house."

Not in any state I am familiar with. They may legally require it paid off and foreclose if you fail to do so; requiring you to get your own mortgage.


It's also not the bank's place to change the title. That job should fall on the executor once the estate is settled, all debt paid, and at that point, she should probably do a deed from herself as executor of the estate of Whoever into her as devisee of will/ heir depending on the jurisdiction.
Refi and pay it off.

[culley96]

I ran across the same problem. When my first wife passed away I wanted her name off of the
loan. The bank said the only way it could be done was with a refinance.
I even sent the death certificate and they would not except it.
Its called a money maker.
So I took a small refinance with different lender.
And that took care of that.

[armin]

The bank does not have to let you assume the mortgage, and if they did, they would still be re-writing it in your wife's name.. They issued a mortgage based on your dad's credit and ability to pay. You have a different situation that may warrant another type of mortgage, especially since it is not a primary residence. Get it refinanced

[gabrielo19]

de ja vu; banks are a pain in the ............too often

go to superior court and get a judge to give you a court order to have your wife and your
put on the deed. you gain no advantage having your name on the mortgage; just
keep paying it off.