Legal Question in Real Estate Law in California
Can my husband purchase property with a mortgage loan if I have sign an Interspousal Transfer Deed even if I have a judgement/lien on property against me in the same county?
2 Answers from Attorneys
Well, there is no law against it. Whether he can do it will depend upon a lot of other factors, including his overall financial strength, the size of the judgment lien, the aggressiveness of the lender, the amount of down-payment or other equity, and many other factors. Certainly the existence of the judgment against you is an unfavorable factor, especially in current times when lenders are being extra cautious, but will not necessarily result in a rejected loan application from all lenders under all sets of other circumstances.
I think Mr. Whipple misreads your question. I believe your question is whether the judgment lien is going to attach to property your husband acquires if you sign an interspousal transfer deed to him.
If the property has already been acquired, and title is held in both your names, the lien has attached and will follow your interspousal deed to him, if it is not paid and satisfied.
If you do an interspousal deed, before title is in both your names, and he takes title as a married man, as sole and separate property, the judgment lien should not attach to his interest.