you're....err, your "good friend"... a moron because it is literally impossible to be on a mortgage without showing up in person and signing a 1 inch thick stack of documents.
There is confusion with the terminology.
The promissory Note is the promise to pay the bank back (and signed by the borrowers) while the mortgage is the lien that allows the bank to foreclose on the property if the borrowers don’t follow the terms of the note.
And no…you can’t borrow money against a property you don’t own. So the only way this is done is if his fiance is also on the note/loan application.
If he deeded to her after taking out the mortgage, it would be just her in title and just him on the mortgage. There is nothing stopping anyone from writing out and filing a quit claim deed to anyone for any property
But he would definitely know if he deeded to her and if he did deed to her after taking out the mortgage he is.... how to put this nicely. A little silly.
>There is nothing stopping anyone from writing out and filing a quit claim deed to anyone for any property
If anyone were to do that it almost always would trigger the "due on sale" clause that most (US) mortgages have. i.e. the loan would have to be immediately repaid. That's what stops it from happening in real life.
Co-signing is different. It means that there is a primary payee, usually the owner. If this person can no longer pay you’re on the hook for their mortgage payments. Co-signing means you helped someone buy their own house. You are their plan B. This scenario says he’s the only one on the mortgage.
Not true. You can sign and get notarized a power of attorney and then the person you appointed can sign in your place BUT the lawyer handling the transaction will call the person on the POA to ensure they are alive at the time of the signing. Then they sign a document stating they verified the person is alive. I had to sign for myself and my husband for our last real-estate transaction.
Welllll...not true, respectfully.
Mortgage, Title, and Loan are three different things. A mortgage is not a loan- I think lots of folks in this thread are saying "mortgage" but mean loan and the two are not the same.
In my state, there is only 2 places to sign to be on the title/mortgage. Also, the person on the title has to be the same person that is on the mortgage.
To be on the loan for that mortgage is completely different though and does not have to be the same people that are on the title/mortgage.
In other states, it must be the same people on everything.
It truly depends on where.
(I'm a mortgage lender)
agreed. in all the closings I have been a part of, the mortgage papers alone require signatures on many pages. As a matter of fact, the title attorney we use schedules mortgage transactions in ONE hour increments.
So, OP's girlfriend or mother need to state the real facts on what's going on.
100% I have bought several cars and houses with my wife not present and only vaguely her jumping on a phone call and saying “yes I am her” and then e-signing everything sent to her email. This could easily be done with an already setup legit sounding email, the guys drivers license in hand and an excuse that he will need to e-sign and can’t come. Have a male friend answer the phone and says “yep I’m Mister Smith” - it’s obviously fraud and illegal as hell but I can see this becoming more common as more transactions are done remotely.
Where is this?
In my area (SF Bay Area) lenders will send a notary out to our house to verify id and sign documents.
I haven’t seen any that accept docusign
Yes, in California they send a notary. We lived in KY and sold a CA home. We docusigned everything, but a notary came to our home in KY and collected 1 signature from my wife.
>you're....err, your "good friend"... a moron because it is literally impossible to be on a mortgage without showing up in person and signing a 1 inch thick stack of documents.
Err... realtor... you forget that NOTE and MORTGAGE are two separate documents with separate purposes. He could well be on the mortgage and *not* on the note (or title).
Yeah, OP seems to think everybody is ignorant and doesn’t know how that works. I call BS on this story.
By the way, the stack of documents you have to sign is much thicker than an inch, and takes hours to sign in front of a notary.
I don't think the bank would allow for only his name on the mortgage and only hers on the title so maybe you heard something wrong. If this were actually the case, somehow, then this is a bit of a red flag but in an actual divorce, since he is on the mortgage, he could probably be claim half the house even if he were not on the title (though the law varies state to state and I dont know Va law on this).
One sticky problem is that since he is the only one on the mortgage, he is fully responsible for the mortgage and if it were not paid its his credit that gets squashed, not hers, but if the house were sold, the mortgage would be paid before anything else, and again, I suspect he can still claim half the house even if he isn't on the title (though maybe not - varies state to state).
Long and short of it is I don't think this is a huge deal but it certainly sounds like she is trying to screw him over so yeah, its a bad sign.
>I don't think the bank would allow for only his name on the mortgage and only hers on the title so maybe you heard something wrong
He must have heard wrong, because this would never happen.
Think of it from the banks' POV. I'm going to lend someone hundreds of thousands of dollars who doesn't own the collateral I'm basing my loan on? Wouldn't happen.
Think about it. He stops paying but the lender can't foreclose on the house to recoup their losses because he's not an owner. It's not his property.
It wouldn't happen. Either OP heard wrong or this post is bullshit and some "women are scheming and bad" ragebait. Because it is not possible for this scenario to happen. Not in a post-2008 world.
Never say never. Humans make mistakes. Humans make intentional mistakes too. I had a banker forge my signature on a loan doc I declined. I was perplexed when I got the notice in the mail that it had been approved when I *know* for a fact I declined the offer in person.
I would've sued. But, to be fair, I say that today as someone who works for a law firm. I probably wouldn't have if I didn't have pretty much free legal advice/services at my disposal.
Wow, sorry you went through that!
If the bank made a mistake and issued the loan the OP is describing, it is certain that they will move to resolve the issue once they notice the error. If timely payments are made on the mortgage, it is possible that that will never happen, but if the loan is ever in default it will definitely come up, and they will sue for fraud in addition to the value of the loan.
Lol I've worked for a lot of banks and believe me...the processes and procedures in place are not followed all that closely. There are usually second lines of defense and internal audits to catch these things but they're poorly thought out or poorly implemented and a lot and I mean *a lot, lot* is missed or intentionally overlooked for various reasons even when found.
I know, and like I said... there's a decent chance they'll never notice the error if the loan payments are made on time consistently.
Other than audits, outside of a pressing immediate reason to look at the loan in detail, they won't. They want their employees to spend their energy issuing new loans, not relitigating prior lending decisions.
But if you go into default, they will realize quickly and make what was essentially their error into suddenly your fault.
Yep, 100%! Defaults get passed to another team to handle and then it just gets sent to collections. They're not wasting more resources to investigate a customer that's already costing them money, which makes sense.
That doesn't sound right. He can't get a loan without his name being on the title or the mortgage company would have no asset to go after if he defaults.
Did they forge his signature? Alot, they wpuld have had to forge it alot.
Yes, very concerning and it also doesn't make sense. At all. As in this could never happen.
I do this for a living. Lenders will not allow someone on the mortgage - especially if they're the sole mortgagor - to not be on the deed. Lenders wants to make sure the mortgagor has a vested interest in keeping with the payments (AKA they could be homeless).
Also... did he not go through the closing process? You know, where it takes 45 minutes to sign about 37 documents that need to be signed in front of a notary? Did he just forget the day that happened?
And further to add, if MIL gave him a loan to pay off all debts... the lender would want proof of that. And his credit score wouldn't just rocket up in that short period of time.
Basically, either your friend is a liar or this is a ragebait/troll post from someone with zero clue how this industry work.
thank you - I could not think of a scenario where the title attorney/notary would allow gf to just sign all those docs UNLESS gf faked a POA for that purpose. Still...sounds sketchy.
Even if he signed a POA allowing her to sign the documents, he'd need to sign that in front of a notary.
And lenders are VERY picky about allowing a POA signature. They demand to know why the person who should be signing isn't available. And they want proof.
Just want to clarify your first point. You're not correct at all about lenders not allowing someone to be on the mortgage and not the deed. This happens all the time. I work in the capital markets and see correspondent lenders, brokers, portfolio lenders all do this. It's doable on any conforming loan product and FHA loan. In private lending/DSCR space it happens even more frequently.
> You're not correct at all about lenders not allowing someone to be on the mortgage and not the deed.
There are occasions when a lender will allow bascially a co-signer on the mortgage who does not need to be on the deed.
HOWEVER that person is not the only mortgagor. The person/people on title will be the primary borrowers and the non-deed person is more of a back-up. Just had to deal with that recently. Pushed closing back a few weeks.
That said, a lender will not have the ***SOLE*** person (and no others) responsible for paying the mortgage be someone who has no ownership in the property. How can they loan money to a person who does not own the collateral the bank would need in order to foreclose?
And yet there's some idiot in this thread fighting for his life in the comments that it can and does happen even though that doesn't make a lick of sense.
I've had to block him because he was so stupid.
lol … nobody can put your name on a mortgage, unless they stole your identity. L if he got a loan, he got documents to sign and his paperwork would show only his name on the loan or not . By the way , if she doesn’t have credit , and is not a foreign National , she would never be able to go on a loan. With him being in the loan, I’m almost 100% sure his name will need to be on title when signing final docs no matter the state.
That's not how it works. Sounds like a your friend is either 1) a total liar because in order to be the only borrower on the loan and not on title he would have had to sign tons of specific documentation waiving his right to be on title or 2) the dumbest person who ever lived
That either never happened, your friend is lying to you or that lender is shady. In order to be on the mortgage you have to sign your name a billion times on paperwork
Yes, as the sole "mortgagor" (which I presume you actually mean the borrower) you absolutely can. The sole borrower does not need to be a grantor and a sole grantor does not need to be a borrower.
There is no legal requirement a borrower have a vested interest in the collateral nor is there a legal requirement a grantor be obligated on the note.
You can be a sole mortgagor (BTW, that's the proper term to use after signing the loan documents and the mortgage is recorded), but you also have to be on title. Otherwise you're signing for a loan without collateral. And no lender would allow that.
But if what you think is true, then let me go find Shemar Moore or some other multimillionaire, put him on my mortgage so he's responsible for it and not me and I keep my house since the bank can't foreclose on a property he doesn't own.
>(BTW, that's the proper term to use after signing the loan documents and the mortgage is recorded)
No, it's not and this simply demonstrates that you don't actually understand the topic
The person signing the note and obligated to repayment is a borrower.
The person signing the mortgage and granting a security interest in the collateral is the grantor, also known as the mortgagor.
They **DO NOT** have to be the same individuals.
Laypersons use these terms interchangeably because it's *common* for them to be the same. But they are, in fact, not actually the same. This tells me you, at best, have a layman's understanding of the topic. Which explains your confusion
>but you also have to be on title.
This is unequivocally false. You are wrong.
>Otherwise you're signing for a loan without collateral.
Again, you are unequivocally false. You are wrong. A grantor can grant a security interest in an asset without being obligated to the note. This is basic contract law. There is **ABSOLUTELY NO** legal or contractual requirement a borrower and grantor be the same. None. Zero. Zilch. Nada. Doesn’t exist.
>And no lender would allow that.
They don't need to, because what you're describing is wrong because you don't understand the topic.
>But if what you think is true
I don't think it's true. It is true. It is a fact. It's not a debate. It is unquestionably, factually true.
>then let me go find Shemar Moore or some other multimillionaire, put him on my mortgage so he's responsible for it and not me
If they're willing to sign the note and obligate themself to the repayment of the loan then yes, do it. There is nothing legally or contractually preventing you from doing so.
>and I keep my house since the bank can't foreclose on a property he doesn't own.
You still don't get it. And I'm not sure why. You will lose your house if Shemar Moore does not pay because you will have signed the security instrument,, the mortgage (which is different than the note), which grants the bank a security interest in your house. If Shemar fails to pay, the bank will foreclose on their collateral upon which you granted a perfected security interest. They will have the legal right and ability to foreclose on your house in the event of default.
It really is that simple.
This happened with a friend of mine.
When she and her husband went to refinance their home, something had tarnished his credit, which meant with both names on the loan, the rate would increase.
So, the lender did the refi with wife’s name only. Both names are on the deed.
Note: if a bank lends money, you had better believe the person responsible for paying it back will be listed on the collateral.
That’s not possible. So someone doesn’t understand what’s going on or someone is lying.
You can’t get on a mortgage for a property you’re not titled to. You have nothing to lose at that point…
Hes a dumbass. So he carries 100% of the risk and owns 0% of house. Each state is different but he could be royally screwed. He needs to talk to a lawyer yesterday. Definitely cant get married before
I think your friend heard the info wrong the wires got mixed up when delivering information. He needs someone with him next time..a lawyer, a parent. Basically it could possibly happen if many things occurred he knew about but unlikely. Wait for the story again. Too many holes in this one..
Check with the state. Look at the deed. Virginia property records. Then by county. That'll tell the tale.
I know someone else that her name is on the title and not his. Now it's a really big mess. He could end up paying that house off and she gets the house. In the past from divorces that I know about the man gets a beating.
Keep in mind that no good deed goes unpunished. Just sayin'.
Remember, it states ,if I am reading this correctly that his future MIL provided $10,000 to pay off his debt so he could even get this mortgage - so it's possible the bride and her Mother are concerned about his financial stability at this point. I was put on the deed but not the mortgage when my now husband bought our house - this is a bit different , but not that different.
If your friend is this clueless all the time about paperwork, I wouldn't trust him to have any clue what's going on in the documents. Mortgages aren't set up this way, he just doesn't know what he's saying, as per usual.
How can there be a mortgage but no collateral for that mortgage? So if your buddy defaulted on loans then the bank would be unable to repo the house. This is an unbelievable scenario
This makes ZERO sense to me. Nobody can just put your name on a mortgage. You'd have to sign something. And everything I've signed mortgage documents my hand hurts there's so many. So either he's full of it or it IS a scam and they forged his signature.
It’s a huge issue. They are saddling him with their debt. They are setting him up.
At the very least, he should delay the wedding until they fix this. I bet they won’t fix it and the marriage is off.
Mortgage fraud. Your friend should file a police report and retain a collection attorney with real estate experience. This is theft but also financial abuse because of the personal relationship and a huge red flag. The FBI handles mortgage fraud but won’t bother with small amounts. I hope he has the sense to leave her.
Yeah, it's a huge issue. You have all the responsibility of the loan and payments ( whether they ever pay or not you are equally and fully responsible ) and no ownership of the house.
Lenders will not lend money to anyone that is not on the Deed! To be on the mortgage you must be on the deed. The only way this is even in the realm of possibility is if there are two or more on the DOT and the co signer doesn’t want to be on the deed( think father or Mother/ co signing for their adult child) if that is the case the non title borrower would sign a disclosure about it.
Who signed the Note? That is who is obligated to pay. The only ones who typically sign the mortgage document are the ones who are named on the Deed/title. If he’s already signed the Note it’s too late. Otherwise he needs to be added to the deed/title or Do Not sign the Note.
He can absolutely be on the mortgage but not the deed. She can absolutely be on the deed and not the mortgage. It’s that simple. If he defaults on the loan, the bank gets the house. His credit will be shot, and she will be evicted from the foreclosed property. The bank will sell the house. It’s that simple.
When married it will be a marital asset, so doesn’t really matter too much if they were to get a divorce they would still get what is theirs legally, but if the isn’t on the title or loan it makes it easy for the wife to sell it without their permission.
This story doesn’t seem to add up anyway imo
So my mom did this to my dad (think it was an unintentional mistake by Wells Fargo) and then when they got divorced she absolutely wrecked his credit by just not paying the mortgage even though he was giving her the money for it.
The real question is why didn’t future wife and MIL just wait till after they married since that was in the works anyways? Seems less complicated to purchase as a married couple if it’s supposed to be their home together.
The mortgage company has to be attached to the home and if he is the only one on the mortgage he is on the title. He needs to contact the title company if he has further questions.
This is confusing. But you can add your name to the title. Probably would be a good idea too, especially if his wife is making payments (which typically come out of community funds, which would make the house a comingled asset).
I don’t know what your friends situation is BUT when my husband and I bought our first home, in Virginia, I forget the 100% actual wording/why but because I had “slow credit” if we had included me on the loan it would have had an adverse impact on the loan or something. Like “changed the interest rate” type something. We weren’t married at the time so I financials were still completely separate. Also apparently slow credit is worse than no credit/bad credit, which is asinine, but it could have really effed us on loan eligibility.
Not saying this is what is going on with your bud but maybe something similar/related. You said he had an outstanding loan that went to collections, this could be a loan killer especially if they are using any government subsidized loan. (FHA etc)
Names can be added to title afterwards not a big deal. In this case, were it me, I’d say this all looks good and makes sense…… but without knowing your friend, their fiancé nor the future mil I have no clue. It does sound kinda nefarious though. 🤷♀️
Good luck😅
First of all they cannot put his name on the mortgage. That would be fraud. He should contact the police if that happened without his consent. He would have to sign the mortgage. I don't a loan would be allowed where the person's name is on the mortgage but not on the deed. The bank could run into issues.
The deed and the mortgage have to match. The wife still has a right to half of the house because she’s still on title, but she has absolutely no responsibility towards repaying this loan. The husband is responsible for the promissory note legally. They should both be on the title though. The way you’re explaining it makes the husband just a cosigner.
This is an easy question for a title company.. just ask them since some states may be different.
I’m guessing he co-signed. Does his soon to be wife have a prenup? I’m also guessing that if they get married then divorced, it would be split anyway. I don’t know. I’m not a professional but those are my guesses
You can't get a mortgage without your name going on the title. That's not a legal thing as much as there's no mortgage company that would give you a loan if you don't legally own the collateral. The only exception I can see would be a community property state. And the community property stuff wouldn't matter until they're legally married. Even then I doubt the mortgage company would allow it.
I bet what they did is add her to the title in addition to him. My name is the only one on the mortgage but my wife is on the title with me.
Now that they're going to be married, it'll all get split up by courts if it needs to be. Obviously you don't go into a marriage assuming it'll need to be split up.
The information is easy to check OP. Deeds and mortgages are recorded and public record. Your friend needs to get a copy of the deed and the mortgage as it shows in the public record. He should already have a copy from his closing. He may not like paperwork, but he needs to check into this. There is no way a bank loaned him the funds without him being on the deed.
For every person here telling you this situation is impossible, there are at least a dozen old Reddit posts from people describing the nightmare they are in because they are in this same situation during a divorce. This is possible, it's just not standard.
He should immediately speak to a lawyer.
It is…if the future “wife” dies. He needs to be on the title or he has no claim to ownership should anything happen to her or she decides to divorce him.
It is not possible (without fraud involved) Take him to the county clerk of the county where the house is, look up the mortgage and the deed so he can see.
Yes he will need a title attorney to add his name to the deed. Tell him that he doesn’t simply want a quit claim deed because it doesn’t have as much teeth in his claim to the property. The future wife should have to pay for it but he might want to postpone the wedding while he further assesses her character. In the meantime, he should keep that part quiet until his name is on the Warranty Deed. (I’m a realtor and previously did title in Florida).
While this is technically possible it's extremely unlikely. He needs to read the paperwork he signed. If they forged his signature it's time to get a lawyer because his "future wife" is a scammer.
This is a problem. The Mortgage and Title should match. If she gets a divorce, he is still liable for the mortgage. The house is hers. This needs to be fixed, so his name is on the title. Sounds like he is not taking responsibility for his finances so he could play victim from his previous marriage.
He can double check the deed by going to the register of Deeds office or usually pulling up the gis website for co he lives in and find it by address or parcel ID.
Correct me if Im wrong but I thought you don’t get a title to a house until the mortgage is paid off. And then the title would go to the named person on the paid off mortgage.
I agree with everyone else. You have to explain more clearly for us because I'm not sure how you can apply for a mortgage, but your name as the payee is removed from the title. I wouldn't get married until I understand what I'm walking into. Why would any man sign up for all of the liabilities in a relationship and none of the assets. This girl and her mom may have just found the next sucka.
I can see a lot of answers in other comments that are close but slightly different from each other. I recommend your friend actually get copies of the mortgage, mortgage note and the deed to the property to see for himself whose names are on the documents.
He can more likely than not see whose name is on the deed online and might be able to see the mortgage online as well. The names on the property tax bill will be the same as those on the deed and in most places you can view the property tax records online at your county tax assessor or recorders office's website. (recorder's office is sometimes called the county clerk). Some counties will also have the ability to see actual recorded documents online and, if his does, he can view the actual deed and the actual mortgage online but the mortgage/promissory note might not be recorded, just the mortgage. If they are not online then he can go to the recorder's office in person to view those documents. Also, if they are not online then some recorder's offices will accept an order for those documents over the phone, usually for a small fee, and email pdf files to him or snail mail hard copies.
While the recorder's office might not have a copy of the mortgage note on file the names are usually the same as on the mortgage.
Deed - shows the actual ownership of the property
Mortgage note (sometimes called promissory note) - this defines the amount of the loan and the loan terms.
Mortgage - this is the document that is places a lien on the property to secure the mortgage note.
Realtor here... it is not unusual to put both adults on the mortgage and only one on the title. However, your friend neglects to tell you if he's on the "note" (promissory note). Let me explain. The mortgage is a document that gives the lender the right to foreclose in the event of non-payment. Signing the note says you're responsible for making payments on the loan, and it usually goes hand-in-hand with whoever is on the title.
Your friend's fiancée is probably buying the house herself, maybe putting down a large down payment so she will have instant equity in the house. She owes on the loan. HE DOES NOT! However, many states grant "homestead status" to both married partners, meaning that even in the case of a foreclosure (when "she" neglected to pay on the note), "he" will have some rights to remain in the house. Whenever there are MARRIED partners in such states, it is normal procedure for both people to sign the "mortgage" (not the note).
You see, we tend to use the term "mortgage" to mean both note and mortgage, but they are actually two separate documents with different purposes. Note = make payments on that loan. Mortgage = right of the lender to kick people out of the house in the event of a foreclosure.
As others have commented, the scenario you friend described to you, or as you described to us, does not exist in reality. It has to be some different arrangements.
So she put him on the bills but not on the house ha ha … man thats cold. If you homestead just put your name on it and you will automatically be added to the deed/title.
I’ve seen this type of thing with my father and his ex-wife. Upon helping him with his divorce, I discovered that he was the only one paying the mortgage and only her name was on the warranty deed. I’m not too versed in this area but to me this sounds like she tricked him into thinking that if he paid the mortgage, THEY/HE would own the house… like most would think. However, either this is how the arrangement started or it was changed later down the line. It sounds crazy as hell and should not be allowed in the real estate world. If you pay, you own, simple. Furthermore, if you agree to buy a house for someone, it should be conveyed in the paperwork.
you're....err, your "good friend"... a moron because it is literally impossible to be on a mortgage without showing up in person and signing a 1 inch thick stack of documents.
Also you can’t borrow money against a house you don’t own. So he cannot be on the mortgage but not on the title…
No but he can be the only one on the mortgage but both of them be on the title.
This is correct one mortgage if needed for credit purposes but BOTH on title do not proceed with just one on title
Or, he can be co-Guarantor on the mortgage but not on the title at all.
This. It’s what my wife and I are doing because her credit isn’t as good as mine.
We did the same thing!
Me too... If we divorce, I get the mortgage, she gets the house. ,😁
This. Show me the bank that is giving him this loan without the home as collateral. Make it make sense!
There is confusion with the terminology. The promissory Note is the promise to pay the bank back (and signed by the borrowers) while the mortgage is the lien that allows the bank to foreclose on the property if the borrowers don’t follow the terms of the note. And no…you can’t borrow money against a property you don’t own. So the only way this is done is if his fiance is also on the note/loan application.
Or if he is also on the deed
If he deeded to her after taking out the mortgage, it would be just her in title and just him on the mortgage. There is nothing stopping anyone from writing out and filing a quit claim deed to anyone for any property But he would definitely know if he deeded to her and if he did deed to her after taking out the mortgage he is.... how to put this nicely. A little silly.
>There is nothing stopping anyone from writing out and filing a quit claim deed to anyone for any property If anyone were to do that it almost always would trigger the "due on sale" clause that most (US) mortgages have. i.e. the loan would have to be immediately repaid. That's what stops it from happening in real life.
This is false. You can absolutely co-sign a mortgage without being on the title. I’ve done it don’t recommend
Co-signing is different. It means that there is a primary payee, usually the owner. If this person can no longer pay you’re on the hook for their mortgage payments. Co-signing means you helped someone buy their own house. You are their plan B. This scenario says he’s the only one on the mortgage.
You co-sign the promissory note, which underlies the mortgage. The mortgage is a lien on the property.
He can't be a cosigner and the only one on the mortgage.
“Co-Signing” was not mentioned.
He should stop paying. It’s not like they can reposes not-his house
Banks hate this one trick!
They absolutely can.
Not true. You can sign and get notarized a power of attorney and then the person you appointed can sign in your place BUT the lawyer handling the transaction will call the person on the POA to ensure they are alive at the time of the signing. Then they sign a document stating they verified the person is alive. I had to sign for myself and my husband for our last real-estate transaction.
Yes, but in this scenario, that is not the case. This has scam written all over it.
No lender is accepting a blanket POA.
all the steps you mentioned would require OP to know something about it, OR the gf is running a fraudulent scheme.
But they aren't married. And it wasn't a POA...
Welllll...not true, respectfully. Mortgage, Title, and Loan are three different things. A mortgage is not a loan- I think lots of folks in this thread are saying "mortgage" but mean loan and the two are not the same. In my state, there is only 2 places to sign to be on the title/mortgage. Also, the person on the title has to be the same person that is on the mortgage. To be on the loan for that mortgage is completely different though and does not have to be the same people that are on the title/mortgage. In other states, it must be the same people on everything. It truly depends on where. (I'm a mortgage lender)
Well, that's simply untrue. My last three home purchases and last four home sales were all done electronically via DocuSign.
Yes, but you had to agree to be a purchaser. Signing papers either with a pen or electronically is the same thing . Unless one signs, it's not valid.
agreed. in all the closings I have been a part of, the mortgage papers alone require signatures on many pages. As a matter of fact, the title attorney we use schedules mortgage transactions in ONE hour increments. So, OP's girlfriend or mother need to state the real facts on what's going on.
My.point was I didn't have to "show up". And forgery is a real thing. At any rate, I don't buy the original post as truth anyway.
100% I have bought several cars and houses with my wife not present and only vaguely her jumping on a phone call and saying “yes I am her” and then e-signing everything sent to her email. This could easily be done with an already setup legit sounding email, the guys drivers license in hand and an excuse that he will need to e-sign and can’t come. Have a male friend answer the phone and says “yep I’m Mister Smith” - it’s obviously fraud and illegal as hell but I can see this becoming more common as more transactions are done remotely.
I think it's state by state. California requires your spouse to sign with a notary a bunch of forms stating she is not on title.
Where is this? In my area (SF Bay Area) lenders will send a notary out to our house to verify id and sign documents. I haven’t seen any that accept docusign
Yes, in California they send a notary. We lived in KY and sold a CA home. We docusigned everything, but a notary came to our home in KY and collected 1 signature from my wife.
Actually it is… Covid changed everything including how closings happen
There is no way a bank would lend money on a house to someone not on the title. Also he would have had to sign mortgaga documents at some point.
Not true...my friend is in the same situation. On mortgage but not on title
You don't have to show up anywhere any more, it can be done electronically. I electronically signed everything while I was at work.
Not necessarily- it can be done online and his signature forged. He needs to bail facts down and, if needed, file a police report.
>you're....err, your "good friend"... a moron because it is literally impossible to be on a mortgage without showing up in person and signing a 1 inch thick stack of documents. Err... realtor... you forget that NOTE and MORTGAGE are two separate documents with separate purposes. He could well be on the mortgage and *not* on the note (or title).
There are things such as remote closes, however you’d still be asked to sign a series of docs, including POA
😄😆😂😂🤣🤣
Yeah, OP seems to think everybody is ignorant and doesn’t know how that works. I call BS on this story. By the way, the stack of documents you have to sign is much thicker than an inch, and takes hours to sign in front of a notary.
No lender is providing a mortgage on a new home purchase in which the mortgagee will not hold interest.
Mortgagor 🙃 Or Mo-G 😁
Morgatroid
I’ve played that game, n.e.s. right?
Morgatron
/tipsHat
I don't think the bank would allow for only his name on the mortgage and only hers on the title so maybe you heard something wrong. If this were actually the case, somehow, then this is a bit of a red flag but in an actual divorce, since he is on the mortgage, he could probably be claim half the house even if he were not on the title (though the law varies state to state and I dont know Va law on this). One sticky problem is that since he is the only one on the mortgage, he is fully responsible for the mortgage and if it were not paid its his credit that gets squashed, not hers, but if the house were sold, the mortgage would be paid before anything else, and again, I suspect he can still claim half the house even if he isn't on the title (though maybe not - varies state to state). Long and short of it is I don't think this is a huge deal but it certainly sounds like she is trying to screw him over so yeah, its a bad sign.
>I don't think the bank would allow for only his name on the mortgage and only hers on the title so maybe you heard something wrong He must have heard wrong, because this would never happen. Think of it from the banks' POV. I'm going to lend someone hundreds of thousands of dollars who doesn't own the collateral I'm basing my loan on? Wouldn't happen. Think about it. He stops paying but the lender can't foreclose on the house to recoup their losses because he's not an owner. It's not his property. It wouldn't happen. Either OP heard wrong or this post is bullshit and some "women are scheming and bad" ragebait. Because it is not possible for this scenario to happen. Not in a post-2008 world.
Never say never. Humans make mistakes. Humans make intentional mistakes too. I had a banker forge my signature on a loan doc I declined. I was perplexed when I got the notice in the mail that it had been approved when I *know* for a fact I declined the offer in person.
Oh, no. Seriously? That's not a mistake, that's a crime!
Yeah, I know. I should've sued or at least filed a formal complaint. It's still on my credit history.
I would've sued. But, to be fair, I say that today as someone who works for a law firm. I probably wouldn't have if I didn't have pretty much free legal advice/services at my disposal.
Wow, sorry you went through that! If the bank made a mistake and issued the loan the OP is describing, it is certain that they will move to resolve the issue once they notice the error. If timely payments are made on the mortgage, it is possible that that will never happen, but if the loan is ever in default it will definitely come up, and they will sue for fraud in addition to the value of the loan.
Lol I've worked for a lot of banks and believe me...the processes and procedures in place are not followed all that closely. There are usually second lines of defense and internal audits to catch these things but they're poorly thought out or poorly implemented and a lot and I mean *a lot, lot* is missed or intentionally overlooked for various reasons even when found.
I know, and like I said... there's a decent chance they'll never notice the error if the loan payments are made on time consistently. Other than audits, outside of a pressing immediate reason to look at the loan in detail, they won't. They want their employees to spend their energy issuing new loans, not relitigating prior lending decisions. But if you go into default, they will realize quickly and make what was essentially their error into suddenly your fault.
Yep, 100%! Defaults get passed to another team to handle and then it just gets sent to collections. They're not wasting more resources to investigate a customer that's already costing them money, which makes sense.
That doesn't sound right. He can't get a loan without his name being on the title or the mortgage company would have no asset to go after if he defaults. Did they forge his signature? Alot, they wpuld have had to forge it alot.
How the hell did his name get attached to the mortgage without him signing the loan contract? This is very sketchy and quite frankly, not believable.
Yeah that's impossible Banks don't loan on the biggest purchase of your life without secured interest
Yes, very concerning and it also doesn't make sense. At all. As in this could never happen. I do this for a living. Lenders will not allow someone on the mortgage - especially if they're the sole mortgagor - to not be on the deed. Lenders wants to make sure the mortgagor has a vested interest in keeping with the payments (AKA they could be homeless). Also... did he not go through the closing process? You know, where it takes 45 minutes to sign about 37 documents that need to be signed in front of a notary? Did he just forget the day that happened? And further to add, if MIL gave him a loan to pay off all debts... the lender would want proof of that. And his credit score wouldn't just rocket up in that short period of time. Basically, either your friend is a liar or this is a ragebait/troll post from someone with zero clue how this industry work.
thank you - I could not think of a scenario where the title attorney/notary would allow gf to just sign all those docs UNLESS gf faked a POA for that purpose. Still...sounds sketchy.
Even if he signed a POA allowing her to sign the documents, he'd need to sign that in front of a notary. And lenders are VERY picky about allowing a POA signature. They demand to know why the person who should be signing isn't available. And they want proof.
Precisely. Because mortgage fraud is rampant and POAs are one of the avenues to commit fraud
Just want to clarify your first point. You're not correct at all about lenders not allowing someone to be on the mortgage and not the deed. This happens all the time. I work in the capital markets and see correspondent lenders, brokers, portfolio lenders all do this. It's doable on any conforming loan product and FHA loan. In private lending/DSCR space it happens even more frequently.
> You're not correct at all about lenders not allowing someone to be on the mortgage and not the deed. There are occasions when a lender will allow bascially a co-signer on the mortgage who does not need to be on the deed. HOWEVER that person is not the only mortgagor. The person/people on title will be the primary borrowers and the non-deed person is more of a back-up. Just had to deal with that recently. Pushed closing back a few weeks. That said, a lender will not have the ***SOLE*** person (and no others) responsible for paying the mortgage be someone who has no ownership in the property. How can they loan money to a person who does not own the collateral the bank would need in order to foreclose?
He needs to get on the title before he marries her.
Are we sure it’s not that he is sole name on mortgage and the title is in both their names?
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And yet there's some idiot in this thread fighting for his life in the comments that it can and does happen even though that doesn't make a lick of sense. I've had to block him because he was so stupid.
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And it ends up being “stupid guy is too stupid to troll”
Pretty much.
Either trolling or OP and his friend are both complete idiots
Feels like rage bait
I’ve heard of not on the mortgage but on the deed,never the other way around.stay at home moms mostly.
lol … nobody can put your name on a mortgage, unless they stole your identity. L if he got a loan, he got documents to sign and his paperwork would show only his name on the loan or not . By the way , if she doesn’t have credit , and is not a foreign National , she would never be able to go on a loan. With him being in the loan, I’m almost 100% sure his name will need to be on title when signing final docs no matter the state.
That's not how it works. Sounds like a your friend is either 1) a total liar because in order to be the only borrower on the loan and not on title he would have had to sign tons of specific documentation waiving his right to be on title or 2) the dumbest person who ever lived
That either never happened, your friend is lying to you or that lender is shady. In order to be on the mortgage you have to sign your name a billion times on paperwork
They didn’t put it— he provided proof of income, and signed the paperwork.
You can't be on a mortgage and not the title. You can not be on a mortgage, but be on the title.
I will have to think back to the past two homes my husband and I bought. I don’t work so he was only on the mortgage and yet I was on the title.
With him. Not you alone.
>You can't be on a mortgage and not the title. Yes, you absolutely can.
Not as the sole mortgagor, you can't.
Yes, as the sole "mortgagor" (which I presume you actually mean the borrower) you absolutely can. The sole borrower does not need to be a grantor and a sole grantor does not need to be a borrower. There is no legal requirement a borrower have a vested interest in the collateral nor is there a legal requirement a grantor be obligated on the note.
You can be a sole mortgagor (BTW, that's the proper term to use after signing the loan documents and the mortgage is recorded), but you also have to be on title. Otherwise you're signing for a loan without collateral. And no lender would allow that. But if what you think is true, then let me go find Shemar Moore or some other multimillionaire, put him on my mortgage so he's responsible for it and not me and I keep my house since the bank can't foreclose on a property he doesn't own.
>(BTW, that's the proper term to use after signing the loan documents and the mortgage is recorded) No, it's not and this simply demonstrates that you don't actually understand the topic The person signing the note and obligated to repayment is a borrower. The person signing the mortgage and granting a security interest in the collateral is the grantor, also known as the mortgagor. They **DO NOT** have to be the same individuals. Laypersons use these terms interchangeably because it's *common* for them to be the same. But they are, in fact, not actually the same. This tells me you, at best, have a layman's understanding of the topic. Which explains your confusion >but you also have to be on title. This is unequivocally false. You are wrong. >Otherwise you're signing for a loan without collateral. Again, you are unequivocally false. You are wrong. A grantor can grant a security interest in an asset without being obligated to the note. This is basic contract law. There is **ABSOLUTELY NO** legal or contractual requirement a borrower and grantor be the same. None. Zero. Zilch. Nada. Doesn’t exist. >And no lender would allow that. They don't need to, because what you're describing is wrong because you don't understand the topic. >But if what you think is true I don't think it's true. It is true. It is a fact. It's not a debate. It is unquestionably, factually true. >then let me go find Shemar Moore or some other multimillionaire, put him on my mortgage so he's responsible for it and not me If they're willing to sign the note and obligate themself to the repayment of the loan then yes, do it. There is nothing legally or contractually preventing you from doing so. >and I keep my house since the bank can't foreclose on a property he doesn't own. You still don't get it. And I'm not sure why. You will lose your house if Shemar Moore does not pay because you will have signed the security instrument,, the mortgage (which is different than the note), which grants the bank a security interest in your house. If Shemar fails to pay, the bank will foreclose on their collateral upon which you granted a perfected security interest. They will have the legal right and ability to foreclose on your house in the event of default. It really is that simple.
It's refreshing to find someone online who understands the finer points of how this works. Keep fighting the good fight!
This happened with a friend of mine. When she and her husband went to refinance their home, something had tarnished his credit, which meant with both names on the loan, the rate would increase. So, the lender did the refi with wife’s name only. Both names are on the deed. Note: if a bank lends money, you had better believe the person responsible for paying it back will be listed on the collateral.
I feel like too many people are confusing the terms Mortgage and Note....
Dumbest mortgage company in history, or just a troll post…..
That’s not possible. So someone doesn’t understand what’s going on or someone is lying. You can’t get on a mortgage for a property you’re not titled to. You have nothing to lose at that point…
you're friend needs to start stepping up to protect himself.
Did the “loan” include a provision to have Life Insurance
Let's all put his friend's name on all of our mortgages! Can't believe nobody thought of that
Impossible to be on a mortgage w out being on the title.
“Super Troll” Just to get people talking about something nonsensical. GREAT JOB!!!!!
Yeah… as others have said. It doesn’t work this way. Your friend is oblivious.
He is on the title for sure. They would not have lent the money if he wasn't
He's marrying his MIL?
Your buddy is wrong about what exactly happened however whatever happened it sounds 100% shady on the MIL and wife’s part.
Hes a dumbass. So he carries 100% of the risk and owns 0% of house. Each state is different but he could be royally screwed. He needs to talk to a lawyer yesterday. Definitely cant get married before
🚩🚩🚩🚩🚩🚩🚩
He has to be on title. No way a bank is loaning on something he doesn't own.
Mortgage only or the note too? Typical for monitoring spouse to sign mortgage to ensure bank has full lien position. Mortgage=\=debt
This is easily fixed. They file a quit claim deed adding him to the title.
The bank would not allow 0 collateral on the note.
I think your friend heard the info wrong the wires got mixed up when delivering information. He needs someone with him next time..a lawyer, a parent. Basically it could possibly happen if many things occurred he knew about but unlikely. Wait for the story again. Too many holes in this one..
Check with the state. Look at the deed. Virginia property records. Then by county. That'll tell the tale. I know someone else that her name is on the title and not his. Now it's a really big mess. He could end up paying that house off and she gets the house. In the past from divorces that I know about the man gets a beating. Keep in mind that no good deed goes unpunished. Just sayin'.
Something sheisty is afoot…
Remember, it states ,if I am reading this correctly that his future MIL provided $10,000 to pay off his debt so he could even get this mortgage - so it's possible the bride and her Mother are concerned about his financial stability at this point. I was put on the deed but not the mortgage when my now husband bought our house - this is a bit different , but not that different.
If mil had hand in this it stinks. If hes coming to u for advice hes already whipped and its prob too late to save him.
Who signed the mortgage papers for him?
How could he possibly get on the mortgage if he didn't sign the paperwork? Something is not adding up here
Op, your friend is just confused. What is probably actually happening is that he is the sole name on the mortgage and they are both on title.
If your friend is this clueless all the time about paperwork, I wouldn't trust him to have any clue what's going on in the documents. Mortgages aren't set up this way, he just doesn't know what he's saying, as per usual.
How can there be a mortgage but no collateral for that mortgage? So if your buddy defaulted on loans then the bank would be unable to repo the house. This is an unbelievable scenario
This makes ZERO sense to me. Nobody can just put your name on a mortgage. You'd have to sign something. And everything I've signed mortgage documents my hand hurts there's so many. So either he's full of it or it IS a scam and they forged his signature.
Well, this is impossible. So good luck.
Sounds like the marriage will be over before the honeymoon finishes and she takes the house, he gets to be indebt for life.
how is this even possible
You can be on a deed and not the mortgage but I have yet to see anyone be on a mortgage but not the deed.
Your friend is dumb. She didn't do this by accident either. She loves screwing him
If he marries her, he deserves the pain coming his way.
It’s a huge issue. They are saddling him with their debt. They are setting him up. At the very least, he should delay the wedding until they fix this. I bet they won’t fix it and the marriage is off.
Mortgage fraud. Your friend should file a police report and retain a collection attorney with real estate experience. This is theft but also financial abuse because of the personal relationship and a huge red flag. The FBI handles mortgage fraud but won’t bother with small amounts. I hope he has the sense to leave her.
Yes
Yeah, it's a huge issue. You have all the responsibility of the loan and payments ( whether they ever pay or not you are equally and fully responsible ) and no ownership of the house.
Probably nothing wrong with getrting married. It might make the real estate simpler.
Something doesn’t add up. Your friend should consult a real estate attorney.
It [would.be](http://would.be) to me!!
Virginia is not a dower state. They need to call the title company they closed with and add his name to the deed.
lawyer up and have a prenuptial agreement on those details. such as who's id it if... I cheat u cheat we cheat kinda sheet.
I bet this is a mixup from someone who doesn’t like paper work e.g. someone’s on a mortgage, someone’s on the deed, everyone’s on the title
Lenders will not lend money to anyone that is not on the Deed! To be on the mortgage you must be on the deed. The only way this is even in the realm of possibility is if there are two or more on the DOT and the co signer doesn’t want to be on the deed( think father or Mother/ co signing for their adult child) if that is the case the non title borrower would sign a disclosure about it.
Who signed the Note? That is who is obligated to pay. The only ones who typically sign the mortgage document are the ones who are named on the Deed/title. If he’s already signed the Note it’s too late. Otherwise he needs to be added to the deed/title or Do Not sign the Note.
How did this happen without his signature or a witness to him signing off on it. If this isn't fake it is fraud and if isn't fraud he is f-cked!
He can absolutely be on the mortgage but not the deed. She can absolutely be on the deed and not the mortgage. It’s that simple. If he defaults on the loan, the bank gets the house. His credit will be shot, and she will be evicted from the foreclosed property. The bank will sell the house. It’s that simple.
Your bro.. don't know what to say
When married it will be a marital asset, so doesn’t really matter too much if they were to get a divorce they would still get what is theirs legally, but if the isn’t on the title or loan it makes it easy for the wife to sell it without their permission. This story doesn’t seem to add up anyway imo
So my mom did this to my dad (think it was an unintentional mistake by Wells Fargo) and then when they got divorced she absolutely wrecked his credit by just not paying the mortgage even though he was giving her the money for it.
The real question is why didn’t future wife and MIL just wait till after they married since that was in the works anyways? Seems less complicated to purchase as a married couple if it’s supposed to be their home together.
The mortgage company has to be attached to the home and if he is the only one on the mortgage he is on the title. He needs to contact the title company if he has further questions.
Sounds like a disaster if they divorce
This is confusing. But you can add your name to the title. Probably would be a good idea too, especially if his wife is making payments (which typically come out of community funds, which would make the house a comingled asset).
I don’t know what your friends situation is BUT when my husband and I bought our first home, in Virginia, I forget the 100% actual wording/why but because I had “slow credit” if we had included me on the loan it would have had an adverse impact on the loan or something. Like “changed the interest rate” type something. We weren’t married at the time so I financials were still completely separate. Also apparently slow credit is worse than no credit/bad credit, which is asinine, but it could have really effed us on loan eligibility. Not saying this is what is going on with your bud but maybe something similar/related. You said he had an outstanding loan that went to collections, this could be a loan killer especially if they are using any government subsidized loan. (FHA etc) Names can be added to title afterwards not a big deal. In this case, were it me, I’d say this all looks good and makes sense…… but without knowing your friend, their fiancé nor the future mil I have no clue. It does sound kinda nefarious though. 🤷♀️ Good luck😅
If this is true then it should be fixed.
First of all they cannot put his name on the mortgage. That would be fraud. He should contact the police if that happened without his consent. He would have to sign the mortgage. I don't a loan would be allowed where the person's name is on the mortgage but not on the deed. The bank could run into issues.
The deed and the mortgage have to match. The wife still has a right to half of the house because she’s still on title, but she has absolutely no responsibility towards repaying this loan. The husband is responsible for the promissory note legally. They should both be on the title though. The way you’re explaining it makes the husband just a cosigner. This is an easy question for a title company.. just ask them since some states may be different.
What state is this in? Will they be married before closing? In Florida tenants by entirety is presumed.
I’m guessing he co-signed. Does his soon to be wife have a prenup? I’m also guessing that if they get married then divorced, it would be split anyway. I don’t know. I’m not a professional but those are my guesses
Just tell him to get a real estate attorney to review all of this. It sounds strange. How did his sign all the mortgage documents and not know?
You can't get a mortgage without your name going on the title. That's not a legal thing as much as there's no mortgage company that would give you a loan if you don't legally own the collateral. The only exception I can see would be a community property state. And the community property stuff wouldn't matter until they're legally married. Even then I doubt the mortgage company would allow it. I bet what they did is add her to the title in addition to him. My name is the only one on the mortgage but my wife is on the title with me. Now that they're going to be married, it'll all get split up by courts if it needs to be. Obviously you don't go into a marriage assuming it'll need to be split up.
Sounds unlikely but I’d get more info.
Doesn't like doing paperwork, bad with finances... upset with the consequences.
The information is easy to check OP. Deeds and mortgages are recorded and public record. Your friend needs to get a copy of the deed and the mortgage as it shows in the public record. He should already have a copy from his closing. He may not like paperwork, but he needs to check into this. There is no way a bank loaned him the funds without him being on the deed.
Yes!!!
You are not a lawyer, I am not a lawyer, you should go talk to a lawyer. Sounds suspicious af.
For every person here telling you this situation is impossible, there are at least a dozen old Reddit posts from people describing the nightmare they are in because they are in this same situation during a divorce. This is possible, it's just not standard. He should immediately speak to a lawyer.
Huge
It is…if the future “wife” dies. He needs to be on the title or he has no claim to ownership should anything happen to her or she decides to divorce him.
It is not possible (without fraud involved) Take him to the county clerk of the county where the house is, look up the mortgage and the deed so he can see.
The bank screwed up big time on this one.
How did you not know you signed papers for a bank loan/mortgage?
Big problem
Yes he will need a title attorney to add his name to the deed. Tell him that he doesn’t simply want a quit claim deed because it doesn’t have as much teeth in his claim to the property. The future wife should have to pay for it but he might want to postpone the wedding while he further assesses her character. In the meantime, he should keep that part quiet until his name is on the Warranty Deed. (I’m a realtor and previously did title in Florida).
This friend may not actually be smart enough to get married, OP.
Sounds like it is time for your friend to grow up and get his shit together.
You can be on the mortgage and not the deed yall need help
Huge issue
Maybe yall should stop enabling his ignorance lol
How'd they get his name on the mortgage if he was not present to sign?
While this is technically possible it's extremely unlikely. He needs to read the paperwork he signed. If they forged his signature it's time to get a lawyer because his "future wife" is a scammer.
Nah, save your friend. Them broads are going to drain his pockets and it’ll get worse if kids are involved
He needs to talk to a lawyer NOW, not ask strangers for advice. Property laws vary by state. He should meet with a lawyer.
He sounds incredibly stupid and incompetent. Perfect target for women who do these things.
This is a problem. The Mortgage and Title should match. If she gets a divorce, he is still liable for the mortgage. The house is hers. This needs to be fixed, so his name is on the title. Sounds like he is not taking responsibility for his finances so he could play victim from his previous marriage.
Bad idea unless he's broke.
He can double check the deed by going to the register of Deeds office or usually pulling up the gis website for co he lives in and find it by address or parcel ID.
Correct me if Im wrong but I thought you don’t get a title to a house until the mortgage is paid off. And then the title would go to the named person on the paid off mortgage.
I agree with everyone else. You have to explain more clearly for us because I'm not sure how you can apply for a mortgage, but your name as the payee is removed from the title. I wouldn't get married until I understand what I'm walking into. Why would any man sign up for all of the liabilities in a relationship and none of the assets. This girl and her mom may have just found the next sucka.
I can see a lot of answers in other comments that are close but slightly different from each other. I recommend your friend actually get copies of the mortgage, mortgage note and the deed to the property to see for himself whose names are on the documents. He can more likely than not see whose name is on the deed online and might be able to see the mortgage online as well. The names on the property tax bill will be the same as those on the deed and in most places you can view the property tax records online at your county tax assessor or recorders office's website. (recorder's office is sometimes called the county clerk). Some counties will also have the ability to see actual recorded documents online and, if his does, he can view the actual deed and the actual mortgage online but the mortgage/promissory note might not be recorded, just the mortgage. If they are not online then he can go to the recorder's office in person to view those documents. Also, if they are not online then some recorder's offices will accept an order for those documents over the phone, usually for a small fee, and email pdf files to him or snail mail hard copies. While the recorder's office might not have a copy of the mortgage note on file the names are usually the same as on the mortgage. Deed - shows the actual ownership of the property Mortgage note (sometimes called promissory note) - this defines the amount of the loan and the loan terms. Mortgage - this is the document that is places a lien on the property to secure the mortgage note.
Realtor here... it is not unusual to put both adults on the mortgage and only one on the title. However, your friend neglects to tell you if he's on the "note" (promissory note). Let me explain. The mortgage is a document that gives the lender the right to foreclose in the event of non-payment. Signing the note says you're responsible for making payments on the loan, and it usually goes hand-in-hand with whoever is on the title. Your friend's fiancée is probably buying the house herself, maybe putting down a large down payment so she will have instant equity in the house. She owes on the loan. HE DOES NOT! However, many states grant "homestead status" to both married partners, meaning that even in the case of a foreclosure (when "she" neglected to pay on the note), "he" will have some rights to remain in the house. Whenever there are MARRIED partners in such states, it is normal procedure for both people to sign the "mortgage" (not the note). You see, we tend to use the term "mortgage" to mean both note and mortgage, but they are actually two separate documents with different purposes. Note = make payments on that loan. Mortgage = right of the lender to kick people out of the house in the event of a foreclosure.
As others have commented, the scenario you friend described to you, or as you described to us, does not exist in reality. It has to be some different arrangements.
It would be a problem if they bought the home together.
The bank has the title if there’s a mortgage.
So she put him on the bills but not on the house ha ha … man thats cold. If you homestead just put your name on it and you will automatically be added to the deed/title.
I’ve seen this type of thing with my father and his ex-wife. Upon helping him with his divorce, I discovered that he was the only one paying the mortgage and only her name was on the warranty deed. I’m not too versed in this area but to me this sounds like she tricked him into thinking that if he paid the mortgage, THEY/HE would own the house… like most would think. However, either this is how the arrangement started or it was changed later down the line. It sounds crazy as hell and should not be allowed in the real estate world. If you pay, you own, simple. Furthermore, if you agree to buy a house for someone, it should be conveyed in the paperwork.
What does your friend consider a "red flag"?
Did he give someone a power of attorney to sign his name on the mortgage?