DIVORCE! How to Avoid Housing Mistakes
Thursday Jan 30th, 2020
HOW TO AVOID COSTLY HOUSING MISTAKES IN THE MIDST OF A DIVORCE!
During a divorce there are many emotional and financial decisions to be made. It's always a good idea to get professional advise to make those tough decisions easier. You have 4 basic housing options:
- Retain Your Ownership - Do you want to continue living in your home? Will the surroundings give you comfort or will they give you unpleasant memories? Some couples Retain Joint Ownership temporarily though only one spouse lives in home, keep your eye on tax considerations which may change from the time of your divorce to the time of the ultimate sale.
- Sell the House Now and Divide Up the Proceeds - Do you want move to a new place that offers a new start? You will want to get the most amout of money for your property. As you work to get your finances in order, you will want to make sure you understand what's left in your pocket after all the selling expenses and after determining what your split will be. The split may not alway be 50/50, but rather may depend on the settlement, the original source of downpayment and the property laws in your area.
- Buy Out Your Spouse - If you want to keep your home, you will have to determine how you'll continue to pay your monthly bills, if you only have one salary. If you used two incomes to qualify for the old loan, refinancing on your own might be a challenge with the new pre-approval rules.
- Have Your Spouse Buy You Out - You can start new with cash in your pocket, but be aware that if the old home loan is not refinanced, most lenders with consider both you and your spouse as original co-signers to be liable for the mortgage.
It is best to contact your lawyer, bank, and real estate professional so they can help you make logical decisions that affect your home during this stressful and emotional time.