My friends dad bought a house under a via loan, he died, his wife is in the title not the loan ,does she has refinance the house or can she ...

Question

My friends dad bought a house under a via loan, he died, his wife is in the title not the loan ,does she has refinance the house or can she keep making the payments and not have any issues later?

Answer

She can keep making payments, and the exact issue that you are looking for is whether her payments and his death will trigger the due on sale clause in the loan.

There are several exceptions to enforcement of a due on sale clause, which may apply. A lender may not accelerate the principal and interest on a loan secured by a deed of trust on residential real property (less than 4 units) if a transfer is from an obligor to his or her spouse as co-owner, or into an intervivos trust.

You are not clear on the title issues with respect to the loan, so the exceptions may or may not apply. They are set forth in Civil Code section 2924.6.