Hello! My name is XXXXX XXXXX I look forward to helping and providing you information today.
Sorry you are dealing with this situation. In theory, yes the bank if it did not approve the assumption has the authority to file a claim against the estate. However, the reality is payments have been made and lenders are not in a hurry to get their hands on more real estate
given the abundance of foreclosures.
Most likely the lender will attempt to work out a refinance with you or ratify the assumption of the mortgage pursuant to the divorce decree and let you wraparound the mortgage (assume the mortgage). Bear in mind this is a possibility and is not a given.
Another possibility is the lender invokes the due on sale clause provided for in the loan documents. If this is the case, the balance will be accelerated and called due. In this event, refinancing the house is an option and the lender is likely to work that out as well.
Hope this helps.
All my best & encouragement.
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All states have intricacies in their laws and any information given is simply information only and specifically is not intended to be, nor does it constitute, legal advice. This communication does not establish an attorney-client relationship with you.