Can one spouse assume the mortgage releasing the ex-spouse from future liability? With rising mortgage interest rates, many divorcing homeowners ask, “Can I assume the existing mortgage?” By assuming the existing mortgage post-divorce, one spouse hopes to eliminate the need to refinance while keeping the current mortgage terms including lower interest rate, remaining balance, and time paid [Read more...] about Can I Assume The Existing Mortgage Post-Divorce?
Income vs. Qualifying Income
Often times in a divorce and mortgage situation there are various types of income to consider: Employment Income; Alimony/Maintenance Income; Unallocated Maintenance Income; Child Support Income; Property Settlement Note Income; and more. Although all sources of income are considered “income” by the recipient, it is important to understand that from a mortgage financing perspective, not all [Read more...] about Income vs. Qualifying Income
Common Credit Concerns With Divorcing Couples
Mortgage payment is missed. Whether an oversight or intentional, when a mortgage payment is missed there are more repercussions than just a negative hit to the credit score. Marital Home in Foreclosure Proceedings. Many times, in a divorce situation there are financial struggles and often times the marital home is involved in foreclosure proceedings. If foreclosure proceedings have [Read more...] about Common Credit Concerns With Divorcing Couples
What is the Vetting Process in Divorce Mortgage Planning?
The term vetting has become commonplace in today's political and business world. But what does vetting mean, and how does it fit into divorce mortgage planning? Vetting means conducting a thorough and diligent review of a person, document, property, investment, or solution. In a divorce setting, vetting the professional divorce team is a critical step to make sure they will not only [Read more...] about What is the Vetting Process in Divorce Mortgage Planning?
A Deeper Look at the Mortgage Interest Deduction During Equity Buy Out
The Mortgage Interest Deduction May Be a Great Tax Planning tool as long as you understand what you are working with. Qualified Home In order to use the mortgage interest deduction, the mortgage must be secured by a Qualified Home: Main home. You can have only one main home at any one time. This is the home where you ordinarily live most of the time. Second [Read more...] about A Deeper Look at the Mortgage Interest Deduction During Equity Buy Out
Choosing Additional Resources to Complete Your Team of Advisors
The intersection of divorce, real estate and mortgage financing is real. Apart from the importance of selecting a family law divorce attorney, the impact other members on the divorce team can have is important as well. A Certified Divorce Lending Professional (CDLP) can bring a different perspective to your divorce team. With about 600 CDLP’s in the country, it is a well-trained and [Read more...] about Choosing Additional Resources to Complete Your Team of Advisors
Buying a New Home When Tied to The Mortgage on The Marital Home
One of the main concerns, when one party is retaining the marital home, is that the vacating or out spouse will not be able to qualify for future mortgage financing while their name remains tied to the current mortgage. This isn’t necessarily so, and we can help our divorcing clients with this issue with the correct verbiage contained in the final divorce settlement agreement. When a [Read more...] about Buying a New Home When Tied to The Mortgage on The Marital Home
Frequently Asked Questions about Mortgages during the divorce process
What is a CDLP? A CDLP is a Certified Divorce Lending Professional who brings the financial knowledge and expertise of a solid understanding of the connection between Divorce and Family Law, IRS Tax Rules and mortgage financing strategies as they relate to real estate and divorce. A loan officer must pass the CDLP program to receive this unique designation. A CDLP cannot charge you more fees [Read more...] about Frequently Asked Questions about Mortgages during the divorce process