Need quick claim advice

[cuteypie]

Good morning, 

I need advise. So, my mother recently passed away and before she passed, put me on the quick claim deed. She owes 71,000, house worth about 220,000. Built in 1972, however, house was pd off. After my father passed, she refi twice unfortunately. I got the house out of foreclosure 3x. Yes, I know.  The house is still on her name with the finance company and needs about 60,000 dollars work done.  I am paying the mortgage monthly and have not notified the finance company as this is so new. I am living in the house.
My questions are: 

1. will have to refinance?

2. how can I get funds to upgrade the house?

3. can siblings come after me regarding the house? It was QC to me only?

Thanks for your help. I know, it's a mess  

[ShanetheMortgageMan]

I’m sorry for your loss.  It sounds like you’ve been through a lot already, and it's commendable that you’ve kept the home out of foreclosure.

When your mother passed the loan technically became due-on-sale or transfer, but lenders rarely call the loan if you’re a family member living in the property and making payments.  Federal law (Garn-St Germain Act) allows family members (like children) to assume the mortgage on an inherited property without triggering foreclosure, even if your name isn't on the loan.  But the lender must eventually be notified, and you may need to go through a loan assumption or refinance depending on the mortgage lender's policies.  If you’re keeping the home long-term and want full control, a refinance in your own name could eventually be necessary, especially if you want to take cash out to renovate.

As far as fixing up the home, you could take out a personal loan which would be the quickest route, but may not be able to get enough to complete $60k worth of repairs.  You could do a cash out refinance, which would pay off the existing mortgage with a new mortgage in your name.  You could get a Home Equity Loan or Home Equity Line of Credit, which could allow you to keep the existing mortgage in place.  You could do a renovation loan (FHA 203(k) or Fannie Mae HomeStyle) which would finance the cost of those repairs into the loan amount, but with the amount of equity the previous options should be easier.

If your mother legally signed and recorded a Quit Claim Deed giving the house to you before her death, and she was of sound mind and not under duress, the house should legally be yours.  However, if your mother had a will or trust that contradicts the deed (e.g., it says the house should be divided), your siblings might attempt to contest it in probate, especially if the estate has not been settled yet.  Speak with an estate attorney (ideally one who handles real estate and probate) to confirm title is clean & confirm your protection from sibling disputes.