My question involves a relationship in the state of: Tennessee
Couple bought house together 6 years ago, both on mortgage.
Male: self employed, listed first on mortgage and deed
Female: underemployed (not financially stable), also on mortgage and deed
For the length of the relationship, he paid mortgage and "supported" her and her children and his child (from separate relationship) (she received child support which helped with bills)
Bought house from her family after 1 year together (her and children raised in house)
Break up (2 years ago)
He moves out with his child to let her and kids stay in house they have always known.
She is responsible for bills and mortgage per verbal agreement.
She is delinquent repeatedly on mortgage (3-4 times in 1 year, now 2 months delinquent on mortgage)
She has damaged property through neglect and lowered property value significantly.
He is in new relationship, on deed to new house (not on a mortgage) expecting child.
He can probably qualify for refinance on own and take ownership outright (there is a thought that if put on the market the house will not sell for what is owed on it) Then he would sell, rent or decide what to do- she is not cooperative.
She cannot financially buy him out or refinance (he is willing to sign over house and give all financial obligation to her and accept no gain or loss)
Sell the house for a loss
Is there any risk to new property he is not on mortgage for?
How can he proceed?
Will bankruptcy be able to be avoided?