If you transfer property prior to filing bankruptcy it will be recovered by the trustee as a voidable preference.If you do not intend to file bankruptcyand you cannot afford keeping it this may be a choice.However, the lender does not have to agree to release you from their loan. Discuss this with your lender prior to transferring property.

Answer Applies to: California
Replied: 10/13/2011

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That will not relieve you of the debt obligation.

Answer Applies to: California
Replied: 10/13/2011

Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.

The deed and the debt are two separate things. Just because you are not on title does not get rid of your debt obligation. If you transfer the property and then file bankruptcy, unless the amount the property is worth is less than the amount due or if the is equity, unless that person gives you the money for the equity, the bankruptcy trustee can get the property back from that person, so transferring title is not a good idea unless one of the two above circumstances exist.

Answer Applies to: California
Replied: 10/12/2011

Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.

Your personal obligation on any loan secured by real property remains, no matter whether you give the property away or not. Giving the property to someone else may trigger a "due on sale" clause in the deed of trust, which will result in the entire balance of the loan coming due. If your friend can refinance the property taking your name off the loan, then all well and good.

Answer Applies to: California
Replied: 10/12/2011

Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.