Disclaimer: This article provides general information under Kentucky law and does not constitute legal advice.
Detailed Answer
Paying the mortgage alone does not automatically grant you any ownership interest in real property under Kentucky law. Legal title passes only through a deed or other title document recorded in the land records. A mortgage (or deed of trust) functions as security for the lender’s loan and does not convey ownership to the party making the payments. See KRS §382.060.
If you pay the mortgage but do not hold title, you lack both legal and equitable ownership absent an express agreement. Kentucky courts may impose an equitable remedy—such as a constructive trust or resulting trust—only when a party can prove:
- A clear, mutual agreement to share ownership or to reimburse payments;
- Actual payment of mortgage or purchase-money;
- Unjust enrichment of the titleholder if you receive no interest.
Absent such proof, courts deem mortgage payments as contributions that do not alter title. To protect any claim, formalize agreements in writing, record them in the county clerk’s office, and consider taking title jointly or obtaining a co-owner deed.
Helpful Hints
- Execute a written co-ownership, purchase, or reimbursement agreement before making payments.
- Record any agreement with the county clerk’s office to provide constructive notice.
- Work with a title company or real estate attorney to add your name to the deed if ownership is intended.
- Maintain clear records of all payments—bank statements, canceled checks, and receipts.
- Consult a Kentucky real estate attorney promptly to review your arrangement and draft proper documents.