Investor · Long Beach, CA · Member since 2015 · 201 posts · 29 votes
Husband/wife consent???? If you are an investor and buy houses within your company and don't want your husband/wife involved in the transaction, as a CO-GUARANTOR, how do you do that? My lender just threw that in my teeth Friday, after 3 months negotiation and already 1 week late on the closing, after they increased interest rate 3 times in 3 weeks... really??? I try to get rid of that consent form to sign, any suggestions? Thanks
Investor · Long Beach, CA · Member since 2015 · 201 posts · 29 votes
10y
no they asked him to sign a consent letter that says something like "husband and I agree to become jointly responsible for obligations by the lenders" .... even if we have a prenup.... that is unbelievable. How business people are doing business in California, without cross the personal life then? Never got that problems before because always invested CASH for my deals Out-of-States.... I guess now my only choices if to lose the deal or flush the lender???? Any thoughts?
Real Estate Agent · Garden City, NY · Member since 2016 · 3k+ posts · 1k+ votes
9y
@Nadine Lajoie The problem you're having is that California is a community property state. So spouses are liable for debts incurred even if they aren't on the loan documents.
Common law states don't have this issue if your name isn't on the documents.
Talk to your lawyer. There is supposed to be a way to treat it legally as separate property. And the spouse would have to seek a waver stating that he or she doesn't plan to seek to be on the title of the company. Then the title will read something like Name "married person" as owner of "sole property." Something of that nature.
Investor · Long Beach, CA · Member since 2015 · 201 posts · 29 votes
9y
The deals are in my c-Corp. So not part of community property... supposedly there are too kind of consent, one is to involved the husband. And other one to release the property (if that would not be in my c-corp) from the community property so he can never claim his half... but in that case, the lender just scr$!#/d me up last minute with the wrong consent and they didn't want to change their mind... after 3 months talking with the broker and telling them that my husband needs not to be involved in any case.. so I paid cash!!!