Spouse on Deed But Not Mortgage?
If a spouse is on the deed but not on the mortgage, your lender has serious problems! Seek a real estate lawyer immediately!!
The deed is the document that transfers interest in a property from one party to another (different from a deed of trust). A deed usually provides that each person who owns the property has an undivided interest in it (two people each own half the property, but a line isn’t cut down the center of it). Thus, if one spouse is on the deed but the spouse’s interest isn’t encumbered by the mortgage, then they likely own their half free and clear of the mortgage. Assuming they are not on the loan, the lender will probably half to fork over half the proceeds to the spouse who didn’t sign the mortgage but is on the deed.