Divorce is disruptive and confusing. Your Boles Group lending professional can walk you through the process and help you find answers to the question of what to do with the house.
What do I need to know if I want to stay in my home?
It’s easy to understand why you might want to stay in your family home. The thought of packing up all your stuff and moving in the middle of such an emotionally disruptive time may feel overwhelming, but it’s important to be thoughtful about this decision. Will you still be able to afford the full cost of the home on your income alone? Have you considered any added expenses you might encounter? This could include things like child support, alimony in some cases, added child care and transportation costs related to co-parenting and visitations. If you do decide to keep your home, your Boles Group lending professional can walk you through the refinance process to make it your own.
What do I need to do if my spouse is keeping the home?
Do not stop making your mortgage payment. Even if the divorce decree awarded the home to your spouse, you are still responsible for making on-time payments every month. Removing your ownership claim on the title documents does not remove you from the mortgage loan. Talk to your Boles Group lending professional to review your situation and come up with a plan to help you move forward.
How do we go about splitting the equity in our home?
First you’ll need to find the current market value of the home. Your Boles Group lending professional can recommend an appraiser if needed. Once that’s handled you can either sell the home and split the proceeds or pay your spouse their portion of the equity. A common solution is to convert the home’s equity to cash with a new mortgage loan. You can then use that money to buy out the spouse’s stake in the home.
How do I protect my credit throughout this process?
Splitting up your financial responsibilities will be a difficult task and things can sometimes fall through the cracks. It’s important to be proactive in making sure any debt that reports on your credit file is paid on time. This includes credit cards, auto loans, signature loans and of course, your mortgage.
Can I buy another home to live in while the divorce is in process?
In most cases, introducing new assets before your divorce is final is not recommended. With that said, every situation is unique. The sooner you talk to your Boles Group lending professional, the sooner you can put a plan together and start moving forward.
Where do we go from here?
Divorce is a significant life event and you will need professional support to get through it. Your lawyer will help you sort through the legal issues, your counselor can help with the emotional side and your Boles Group lending professional will help you navigate your mortgage options.