DIVORCE: the anger, confusion, sadness, pain, and loss associated is nothing short of paralyzing. Divorcing couples aren’t just burdened with the traumatic up-root of a marriage, but everything else these couples built together is included.
For instance, what was once “the family home” must also be split and divided, which brings them to a question no one wants to answer: who gets the house?
Let’s start out by asking yourself two questions, from two very important sides:
- Emotional 💔: Why do I want to keep this home?
NEXT: Who gets the house? Don’t rush and remember to keep your emotions out of your decision. Let’s do some research on your options:
Option 1: If you choose to stay…
- Can I afford this house?
- Do I want to keep the house for the right reasons?
- Will this house meet my new life goals?
- Am I going to be able to afford a major fix?
- Will this affect my children in any way?
Option 2: If both of you choose to leave…
- Will I lose money by selling the house?
- Will selling the home add more stress?
- Where will I go when we sell the house?
- Can I even qualify for a loan for my new home?
- Are there any restrictions currently with the house?
Option 3: If you cannot come to an agreement…
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- Do I fully understand my options?
- Is my argument based on my emotions?
- Who can I speak to for guidance?
- How can we agree on a sales price?
If you chose to keep the home…
Refinancing is probably the most common and easiest way to remove one spouse from the mortgage. Divorcing couples most often refinance in order to start a new loan with one of the spouse’s name on it and pay off the old loan in both spouses’ names.
• Buy-Out Spouse:
When one party wants to keep the home, he or she will have to buy out the other. In other words, if you choose to keep the house, you will need to pay your spouses’s portion of the equity paid into the home. For example, if you both paid $100,000.00 towards your mortgage, the keeper of the home must pay the other $50,000.00 in order to buy out.
If you both chose to leave…
• Selling the home during divorce:
If no one wants to stay or can afford to pay the mortgage on their own, another option is to put the house on the market to get the best price. When the property sells, the profits will be divided.
• What happens next?
Don’t worry. If you’re scared, that’s why you have an attorney at your side. Make sure the resolution meets your satisfaction. A professional can help you make the best choice to fit your needs: live with family, rent, or purchase your next home. Your new beginning is much closer than you think. There are various loan programs you may qualify for. Click each link for more information: FHA, Conventional, and more!