Legal Question in Real Estate Law in North Carolina

My loan, through Countrywide, now with BOA, is in foreclosure. I am working on modifying the loan but with our current financial situation that is not likely to go through. Our court date is in July and both my husband and I are required to attend because both of our names are on the deed. My husband, however, is not on the mortgage with BOA. Since his credit score was low, the representative with Countrywide just put the loan in my name. If BOA does foreclose on me, what recourse does my husband have to protect his interest in the property? We really want to keep our home and are looking for any presentment that may allow us to do so.

Asked on 6/07/12, 8:49 pm

2 Answers from Attorneys

Rachel Hunter

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You indicate that your husband's credit score was low. Has it improved since you obtained the mortgage?

The options are basically either modify the existing loan or file bankruptcy - you have up until 10 days after the foreclosure sale (not the same as the foreclosure hearing - the sale is usually held about 60 days after the hearing) but don't wait that long.

I don't know why you fell behind on your mortgage. Did you ever talk to a Hud-approved housing counselor at a non-profit? Depending on your circumstances, you might have qualified for one of the programs but with the foreclosure sale scheduled, I don't know if there isenough time to work it out. Its worth a shot.

The only other option is for your husband to apply for a mortage in his name and basically refinance the property but in your husband's name. However, if your husband still has credit issues, this probably is not going to work. Has he tried contacting NACA (Neighborhood Assistance Corporation of America)? They have a Raleigh office, although I have not heard good things about them. However, they have mortgages (in addition to their home save program for which you have to attend a workshop and there may not be enough time for you to do that) so maybe your husband could look into that.

Answered on 6/07/12, 10:14 pm

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