Legal Question in Wills and Trusts in Missouri
property deed
can i deed my house to my daughter even though it is morgaged
Asked on 9/28/07, 10:05 pm
1 Answer from Attorneys
Michael R. Nack
Michael R. Nack, Attorney at Law
Re: property deed
Yes and no. You can physically execute a deed to your daughter, so, yes. But, most legal documents securing the lender on a mortgage loan, such as a deed of trust, will have a "due on sale" clause which provides that any attempted transfer of ownership during the loan will give the lender the right to demand paymentof the entire balance due, and if the demand is not met then pursue foreclosure, so no. There is probably an easier way to accomplish your goal, and I would suggest consulting with an attorney.
Answered on 9/29/07, 11:37 pm