Legal Question in Bankruptcy in Texas

Is it possible to be part of a joint mortgage, but not be on the deed of the house? Basically, my fiance and I have great credit. My income is higher than hers and we would prefer to use it to get a larger mortgage. However, it is possible that I will have to declare bankruptcy at one point in time if a particular matter arises. She is going to be putting down a large down payment (upwards of 100,000) and I want to protect the house. The bankruptcy would not be to rid my debt of the house, only this one particular matter as I have no other debt. This particular matter would cause stress beyond my means and I would not be able to make the payments. What are my options? Can I be on the mortgage and not on the deed? And does this protect the house?


Asked on 11/23/11, 10:44 am

1 Answer from Attorneys
Keith Engelke Law Office of S. Keith Engelke

Being on the mortgage but not the deed does not necessarily protect the house.

If you both signed the mortgage, and one of you filed bankruptcy, the bank might (depending upon the language in the mortgage) foreclose on the house. This is particularly likely if your spouse would not have enough credit to buy the house on her own. My guess is that if there were no late payments in the mortgage, the bank would be less likely to foreclose, particularly if their debt was reaffirmed in the bankruptcy.

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Answered on 11/23/11, 7:08 pm


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