Divorcing spouses face unique challenges when trying to buy a new home. And while getting a mortgage after divorce may seem difficult, it is possible. However, one obstacle that could easily be overlooked is self-employed income of your former spouse.
Many people may think their ex-spouse’s self-employment income does not affect their ability to qualify for a mortgage. After all, the ex is not part of the new transaction, right? It’s a little more complicated than that.
Tanya and her husband … Continue reading
Most people believe that child support income can be used to qualify for a mortgage to buy a home…no matter what. This misunderstanding can lead you astray and be dangerous in a divorce. You should consulting with a divorce lending professional prior to and during your divorce process. Knowing the rules and advance preparation can help you avoid some costly mistakes.
Myth: I can use all my child support income to qualify for a mortgage to buy a home.
No doubt, … Continue reading
When going through a divorce, marital debt is split up. The way you go about it could cause you trouble down the road.
Most often when couples are going through divorce, money is involved – both assets and debt. The main money focus is on the assets such as the bank accounts and retirement accounts. Don’t overlook your marital debt. But just like the marital assets are split up in a divorce, so is the marital debt.
Perhaps the biggest myth … Continue reading
When going through a divorce, dividing your family home is often a big decision. It is typically stressful and even emotional. Often, one spouse will want to keep the family home. If so, then the spouse must be able to buy-out the other spouse’s home equity based on the divorce agreement.
To divide home equity in a divorce, the first step is to obtain an appraisal by a residential real estate appraiser. Then, you will need to reduce this by … Continue reading
In the movie, War of the Roses, Danny DeVito cautions, “When a couple starts keeping score, there is no winning…only degrees of losing.” There is a lot of work involved to avoid the score keeping, not to mention to protect yourself and secure your future. But it doesn’t have to turn into the knock-down drag-out like that between Michael Douglas and Kathleen Turner.
Once you and your spouse have determined whom will be responsible for each account, the next … Continue reading
Breaking up is hard to do. And going through a divorce is an overwhelming and emotional process. It may feel like there isn’t enough time or energy to accomplish everything and it isn’t uncommon for emotions take over during a divorce while smart decisions are left to chance.
One of the most overlooked aspects of divorce is protecting your credit … Continue reading