quit claim to add spouse

[villiagepeople]

i am starting the process of refinancing another house i own (thanks for the tip on a 7/1 usc)... but when i bought it i wasn't married.  now that i am and i want to refi (no cash out, just rate term)... the lender wants me to do a quit claim to add my wife.  question, when i do a quit claim (again just to add my wife's name) does it set off any taxes because the property value increased?

 

[davenlei]

First, I thought a quit claim was to 'remove' someone from title.
But either way, when did a quit claim for my mother in law, I don't recall there being a reassessment of the value.  But I do recall someone at the tax assessor stating they may reasses 33% (3 owners recorded) of the value depending on how ownership was recorded.  Sorry, this was 10 years ago.

 

[irvinerealtor]

i am starting the process of refinancing another house i own (thanks for the tip on a 7/1 usc)... but when i bought it i wasn't married.  now that i am and i want to refi (no cash out, just rate term)... the lender wants me to do a quit claim to add my wife.  question, when i do a quit claim (again just to add my wife's name) does it set off any taxes because the property value increased?

Should be an Interspousal Deed. And as long as your Preliminary Change of Ownership is completed correctly, it will not trigger any re-assessments in the property.
-IrvineRealtor

 

[usctrojancpa]

i am starting the process of refinancing another house i own (thanks for the tip on a 7/1 usc)... but when i bought it i wasn't married.  now that i am and i want to refi (no cash out, just rate term)... the lender wants me to do a quit claim to add my wife.  question, when i do a quit claim (again just to add my wife's name) does it set off any taxes because the property value increased?

Glad that the 7/1 ARM loan works for you, it really is a great loan product if used correctly by the right borrowers.  The rule is that whoever is on the loan must be on title and whoever is not on the loan can not be on title.  As mentioned by IR2, this is done via the Interspousal Quit Claim Deed and will not trigger a property tax re-assessment if the paperwork is completed properly.