Need advice!!
Forums:
My DH and I are building a house together. We are both on the mortgage but DH is insisting we put the title of the house in the name of his Corporation. I just recently saw an email he left open from his lawyer stating that by doing this it may help to protect the house from being part of family division should we divorce. I've felt sick about this for days and wonder if I need a lawyer. I have confronted DH about his reasonings for wanting to do this and he tells me it's tax reasons.(i haven't told him i saw the email)I feel betrayed and not sure what to believe at this point!
PLEASE...PLEASE LISTEN TO
PLEASE...PLEASE LISTEN TO ANNITH! Why would anyone want to risk their PERSONAL MARRIAGE ASSETS in the control to a corporation. GET A LAWYER ASAP! I think I smell a rat. You need to talk to a lawyer to confirm you are not crazy. PLEASE KEEP US POSTED. I am sure your DH is going to blow smoke up your butt.
Don't do this. Don't sign
Don't do this. Don't sign anything at this point. You are on the debt but not allowed to have any positive appreciation of value, etc. Improvements will be made on SOMEONE else's property.
I'm not certain that a bank will allow this where the mortgage does not match the title of a property. Maybe in Canada, but wow, the concept of liability without benefit. Unbelievable. The choice to put the title of the home into a Corporation screams that there is some attempt at fraud, hiding assets, and devalues the sense of a marital home. Let the Corporation take out the mortgage if the Corporation is on the title. IT'S NOT YOUR HOME.
I don't think you need to tell your DH that you read the email. Do some basic research, speak to the county title/appraisal clerk (at least here in the States) --- unofficial advice. It may be worth a free consult or a few hundred dollars to get official advice from a lawyer who specializes in real estate law. (or divorce law as a precaution)
I can see how that would be
I can see how that would be of benefit in that situation, but it's still technically a fraud-based transaction, isn't it?
Kinda like OJ Simpson putting his assets in his children's names so that he didn't have to pay the civil judgement for the death of Ron Goldman. Or, that billionaire in Florida who tried to adopt his girlfriend to "protect" his assets against the wrongful death case. Or my ex-boss who put his assets solely in his current wife's name in an attempt to avoid the IRS.
It might be legal, but it's one of those moral/ethical situations which always tie me in knots.
If OP and DH had signed a pre-nup that would be above-board, but shunting assets under a separate umbrella just seems wrong. Not a lawyer or a priest so who knows ...
Absolutely agree. If non-wage
Absolutely agree. If non-wage earning spouse is not liable for the debt and has no interest in the property, they shouldn't be on the deed. No one says a spouse's name has to be on every asset or savings acct or CD or rental property. Especially with blended families, I think that it's common to have separate assets to pass along to bio-kids etc.
Regarding the ability of some folks to think of new and complicated ways to hide assets from current spouses, ex-spouses, lawsuits and the IRS ... dang. Maybe we should start a new thread, but I tell my son that it's easier and less complicated to just be honest so I guess I'd better not.
Guess I misunderstood your earlier reference.
For tax reasons? I may be
For tax reasons? I may be mistaken (although I do not think so)...I own several different companies, which are all separate corporations... and My personal property is separate from any of my companies...my taxes on my residence are much lower than any of my corporately owned properties...BIG RED FLAG...Also...if it is in the name of the corporation...If his business gets sued...you could lose your home...no, no, no,...You keep your home and your personal assets separate from the corporation...then people cannot take them away from you because of the corporation...Keep the liability separate...that is why you incorporate to begin with...Get a Lawyer...Honesty, and everything out on the table should be the bigger concern...It sounds like he doesn't trust you...and you should be very cautious...I would stop the project immediately until you can work through the deeper issue...If he is being dishonest with you about this what else is he and will he lie about? I could not live with that kind of head game...always having to second guess his motives?...no house is worth that.....stop before you get in too deep with this guy....
I live in Canada and I know
I live in Canada and I know someone who went through a divorce after not being on title to their house. The courts deemed her to be on title because she had lived there as the wife of the person on title and had contributed to the mortgage and living expenses.
I assume that you are
I assume that you are speaking of the woman being the partner of the person on the title of the house. I'll bet that house was considered the marital home, and that she contributed to the livelihood of the household and kept it functioning, etc. I can definitely see that happening and I'm happy for the woman receiving acknowledgement. Hope that it was seriously financial !
From what I read, OP is signing on jointly and singly for the debt/mortgage and an entity OUTSIDE of the marriage will hold title: the Corporation. It is a separate legal entity.
His story make NO SENSE!
His story make NO SENSE!
Time to refuse to sign any
Time to refuse to sign any paperwork regarding the house unless he agrees to put it solely in your name with only him on the mortgage with a legally binding release of any claim he could have on the property effective immediately. If you stay he pays, if he or you leave .... he pays ... and you get the house. And don't forget half of any other assets plus nail him for anything else you can nail his manipulative, sneaking, conniving ass for.
Then file for divorce before he does. IMHO the writing is on the wall from his end of things.
Own his ass and have fun doing it!!!! }:)
And yes, you need a lawyer ... NOW!!!!!
He will screw you out of your
He will screw you out of your own house. DON'T sign a damn thing. Listen to everyone here please!!!
My BIL has my sister on their
My BIL has my sister on their mortgages but not on the deed. My sister will have no choice but to spend the money to go through probate in order to have the house transferred to her when BIL dies.
Just being nosy...why is this set up like this? Why agree to be on a mortgage when the house (deed) isn't yours?
Jesus. If you are married
Jesus. If you are married then your name should be on the loan and on the deed. Just because he has anxiety over maybe "this marriage" won't work out....and "I don't want to loose my house again" isn't a reason to do this type of crap.
MAKES ME SO FREAKING ANGRY!!!
You weren't snooping. He
You weren't snooping. He left the email open. Why haven't you told him you saw it???
He flat out LIED to you, saying it's for tax reasons when the email clearly states otherwise, & I would absolutely call him out on it.
Do NOT get yourself tied up in a financial obligation that leaves you in the cold if things go bad. Do NOT get yourself tied up in a mortgage with someone who you KNOW is only looking out for himself.
NO WAY should you be accountable for paying on something that isn't titled to you. NO! NO! NO!
Agree with everyone else. If
Agree with everyone else. If you pay for it, you own it. Period, full stop. Tell him he has two choices:
1. Both your names go on the title, since you're both on the mortgage.
2. He can put the corporation on the title IF AND ONLY IF you are removed from the mortgage note and he pays you back what you've paid out so far.
Those are the ONLY fair and equitable things to do. Insisting that you pay for a house you do not own is not in any way fair to you. As others have said, having you on the mortgage but not the title leaves you open to some SERIOUS risk. Even IF (and I'm not sure I buy it) there is some "tax benefit", the risks to you are not worth it.
Come on carrie...don't keep
Come on carrie...don't keep us in suspense....whats happened lately re your issue with DH?