Posted by John on June 25, 2005 at 21:14:43:
Simply ask the title company to issue 2 equal checks for the sale proceds 1 to him and 1 to her. Let the divorce attorneys figure out who owes who how much.
distribution of funds at closing - Posted by Ed Lorenz
Posted by Ed Lorenz on June 24, 2005 at 10:28:41:
After selling a home of his own, my son married and purchased a new home with a mortgage in his name only. He put both himself and his new wife on the deed.
It appears that they are now separating but they already accepted a signed contract to sell their home. Both are concerned about the funds that they understand are to be distributed to them “jointly” at closing.
Due to an enormous credit card and other debt accumulated during the marriage, both fear that if any funds are issued to them jointly and then deposited in a jointly held account, either could withdraw some or all of the funds before it is determined what either party is entitled to.
They each feel they have justification their concerns and it is very safe to assume they will not reach an agreement in advance of closing on the sale of the property. How can they protect the funds they receive at settlemnet from each other until they (or the courts) agree in writing as to what each is entitled to.
Re: distribution of funds at closing - Posted by Natalie-Va
Posted by Natalie-Va on July 01, 2005 at 08:10:45:
How about asking the settlement agent to hold the proceeds in escrow for their benefit?
The settlement agent may not want to get involved, but maybe there is another attorney who might be willing to hold the money in trust.