Legal Question in Real Estate Law in California

You're not clear on who he delivered the quit claim deed to. If he delivered it to you, then you are on title to the whole property and there is nothing for you to buy from him, because he has nothing to sell you. With respect to the loan, he would still be personally liable unless the lender agreed to refinance in your name only. But a lender going after him personally on the loan is very slim considering the structure of California's anti-deficiency legislation.

Sounds like there is more to this story and some missing facts. However when one signs a quit claim deed they give up any right to the property. You may want to refinance just so there are not any issues. You would need to look to the terms of the loan to see if you can be forced to refinance. However the bank may not bother you if you make all your payments on time.

A quitclaim deed will usually specify who is quitclaiming, and to whom. Does the deed identify you as the person obtaining his ownership? Then, did he deliver the quitclaim deed to you? Lastly, has the quitclaim deed been recorded with (I presume) the Butte County recorder? (This last step is important, but not critical). If all this is correct, you have acquired his interest and, assuming no one else has an ownership interest, you are the sole owner "of record."

However, the analysis doesn't necessarily end there. Even if you own 100% of the home according to the county's records, your ex could conceivably claim a so-called "equitable interest" in the property, or allege that the quitclaim deed was obtained by fraud, and, by either means, compel you to defend your ownership. Key questions might be who paid the down payment, what promises did the two of you make to each other regarding ownership, and whether you gave him any "consideration" (something given in exchange) for the quitclaim deed. However, if everything was "fair and square" you'd prevail on any lawsuit, and probably wouldn't be sued in the first place.

Now, as to the loan. Most home loans have a so-called "due on sale" clause, and these are usually written so they are triggered by any change in ownership, entire or partial, other than perhaps putting the home in a revocable trust. If the lender required the quitclaim deed to be executed for some reason connected with making the loan, that's one thing; but otherwise, the quitclaim probably (technically, at least) violates the due-on-sale clause, and the lender might (in theory) step in and declare the loan due and payable in full, right now. Generally, they don't do that, but it could happen. The lender more likely would ignore the quitclaim, or might re-write the loan (probably charging a fee).

In conclusion, with very little facts to work from I can't be sure or very specific about your situation, but I do believe you have at least a little to worry about, either from your ex or your lender; maybe 5 to 10% possibility of a problem from either source, but this is largely guesswork without more facts. Please feel free to contact me if anything develops.....I have another case in Butte County and go up there from time to time.