Legal Question in Real Estate Law in New York

Cosignor of Friend's residential property

In December 2004 I cosigned for a loan to help a friend maintain her residential property. The deed and

mortgage were in my name until we did a''Quitclaim'' in Nov. 2005and now the deed is in her name. She has not made a single mortgage payment; in 2006 she filed aChapter 13 Bankruptcy .Her bankruptcy was dismissed in January 2007 because she defaulte on her agreement. Consequently, the house is in foreclosure and has been posted in my local newspaper to be up for auction on 3/7/07. My questions are as follows:

Can I sell the house even if the deed is in her name?

What legal recourse can I take when the house is sold so that she is responsible for any payments after the house is autioned ?


Asked on 2/08/07, 5:58 pm

1 Answer from Attorneys
Bunji Fromartz Fromartz Law Offices

Re: Cosignor of Friend's residential property

You need a lawyer to review the papers fast. You may be liable on the mortage personally.

Re: your questions: You need her to sign in order to sell the house. There may be no recourse to make her soley resposible to the lender, however you can sue her for any monies you have to pay out. Unfortunatly she sounds judgment proof [has no money] so even if you win you will not collect.

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Answered on 2/09/07, 4:22 pm


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