Divorce/Separation Mortgage

If you are in the situation of planning a divorce, you are likely beginning to write up agreements to divide up all the assets, which most likely includes your home. Each spouse will be entitled to 50% of the home equity unless there is a notarized document in place that outlines a different agreement put in place at the time of the union. If for some reason the home doesn’t sell, one spouse will usually buy-out the other.

The important things to keep in mind while going through a settlement are to continue paying all associated bills, separate any joint accounts, pull your credit report to ensure no item has been missed, and get through the process in as timely a manner as possible. If any payments are defaulted or you don’t have a strong history individually, getting a mortgage in your own name afterwards will be quite difficult. As soon as you begin working towards a settlement, contact your lawyer and mortgage professional. These people will need to work in tandem with you, so introduce them early and ensure all your documentation is in order.