Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney to address your specific situation.
Detailed Answer
Mortgage Payments vs. Legal Title
Under Maine law, a mortgage is a security instrument, not a transfer of ownership. When you make mortgage payments, you reduce the lender’s lien, but you do not acquire legal title unless your name appears on the deed recorded in the county registry of deeds. The mortgagor retains the “equity of redemption” (see 33 M.R.S. Ch. 905), yet true ownership stands with whoever holds title.
Equitable Remedies: Constructive and Resulting Trusts
If you paid a substantial portion of the mortgage or down payment but are not on the deed, Maine courts may impose an equitable remedy. Through a resulting trust or constructive trust, you can ask a court to recognize your beneficial interest. To succeed, you generally must prove:
- You made significant contributions toward purchase or mortgage payments;
- The titled owner accepted those contributions; and
- There was no intention to make a gift.
No specific statute creates these trusts; they originate in Maine common law and equity. You would file a civil action in superior court to enforce your claim.
Marital and Cohabitant Contributions
Maine is not a community property state. In a divorce, courts divide marital property equitably, which can include homes where one spouse covered mortgage payments. Unmarried cohabitants do not receive automatic rights. Instead, they must rely on written agreements or equitable claims. Without a deed or an express trust agreement, paying the mortgage alone does not guarantee any ownership interest.
Actions to Assert Your Rights
Depending on your circumstances, you may consider:
- Quiet Title Action: Clear or establish your interest in real property;
- Partition Action: Seek sale or division of property when co-owners disagree (33 M.R.S. Ch. 913);
- Declaratory Judgment: Ask a court to declare your rights regarding ownership.
Helpful Hints
- Record your name on the deed to secure legal title.
- Use a written co-ownership or trust agreement before making contributions.
- Keep detailed records of all mortgage payments and improvements.
- Consult a real estate attorney early to explore equitable remedies.
- Check the county registry of deeds to verify current ownership.