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C.GAguy · Oct 10, 2012, 11:31 AM

Hello all.

I have a question, and I hoping to get some good solid advice on this.

My wife and I are separated, and moving towards divorce. Her name is not on the mortgage at all. However in serarching through all the paper work, we found that she had signed the security deed as a borrower. As I said her name is not anywhere on the mortgage paperwork or the loan.

She has requested that she wants her name off the deed. I have already filed a quit claim deed and had her name removed from the warranty deed.

Do I do the same process to reomove her from the security deed? She does not want anything to do with the house, nor does she want to be held responsible for the house or the loan on the house.

I have tried to contact a real estate attorney, the attorney will not give me answer without making an appointment, nor will they tell me how much their services will cost me. SO I am hoping that somebody here might know a quick answer.

Thanks so much for your time.

JudyKayTee · Oct 10, 2012, 11:38 AM

I'm not in Georgia; I'm in NY BUT the security deed is the collateral for the loan, against your house (real estate). The mortgage company/bank would have to approve a change.

You have both signed that you are legally responsible. In NY you cannot quick change or change title in any way without the consent of the mortgage company/bank.

FrChuck will know. He'll be around later.

Fr_Chuck · Oct 10, 2012, 11:16 PM

A new security deed will have to be drawn up, If this ( first one was in error) since she did not sign loan papers, it may not be a issue, but the loan company will have to agree and sign a new one.

This is actually the first time I heard about this happening, and do not believe that the loan company can hold her liable, since she did not sign any of the actual loan documents.

Lisa , one of the real estate experts, may have more on this, I will try to PM her and see if she will come and give her opinon on it.

Whose attoreny did the closing papers, your attorney or the sellers attorney?

LisaB4657 · Oct 11, 2012, 06:36 AM

Well this one was a first for me. I had never heard of a security deed before. I did a little research and discovered that a security deed is basically the same thing as a deed of trust.

In this case I don't think that the security deed matters. Even though she is not listed as a borrower on the mortgage note the lender had her sign the security deed to make sure she transferred any rights she may have to the property if you do not make the loan payments. This is common with mortgages where one spouse may not be on the mortgage note but is required to sign the mortgage security instrument so they cannot prevent a foreclosure in the event of non-payment by the borrowing spouse.

So if your wife was not listed on the mortgage note as a borrower, then having her name on the security deed shouldn't matter to her or the lender. The lender does not lose any of its rights to the property when she transfers her share of ownership to you.

C.GAguy · Jan 7, 2013, 04:06 PM

Sorry for the delay, but I wanted to thank everyone for their advice.

JudyKayTee · Jan 7, 2013, 04:12 PM

Very few people come back to say thank you - your post made my day!

C.GAguy · Jan 7, 2013, 04:22 PM

Well, I believe everyone should say please and thank you, when a service or advice is offered or given.

LisaB4657 · Jan 7, 2013, 04:57 PM

Thanks for coming back! We really appreciate it!

AK lawyer · Jan 7, 2013, 05:08 PM

Originally Posted by LisaB4657

... I did a little research and discovered that a security deed is basically the same thing as a deed of trust.
...

A deed of trust, in turn, is a subsitute for a mortgage. So that doesn't make a lot of sense. The property is mortgaged as security for the OP's mortgage note, and at the same time conveyed to a trustee with power to sell in case of a default of the note?

But I agree with Lisa: it sounds like redundant security. Kind of like wearing a belt and suspenders at the same time.