Going through a divorce can be emotionally challenging, and the prospect of selling your marital home and purchasing a new one might seem overwhelming. To ease the process, it’s essential to approach these tasks as business decisions.
3 Rules for Selling the Marital Home:
- Don't Be Married to the House:
- Detach emotionally from the property to make sound financial decisions.
- Avoid Sabotaging Profits:
- Keep anger and emotions in check to ensure a successful sale.
- Document Everything:
- Make copies of all important documents, including tax records, mortgage, and purchase documents.
Selling and Buying a Home Post-Divorce: Selling the marital home and preparing to purchase a new one after divorce differs significantly from doing so as a married couple. New mortgage financing post-decree can be complex, and the details of the divorce settlement can impact both spouses' ability to finance a new home.
- Support Income for Mortgage Financing: If you are receiving spousal or child support, there are specific receipt guidelines to meet for this income to qualify for mortgage purposes.
- Existing Mortgage Obligations: If you are still obligated on the marital home mortgage, the language in your divorce settlement agreement can affect your ability to obtain new mortgage financing.
How a Certified Divorce Lending Professional (CDLP®) Can Help: Working with a CDLP® and incorporating Divorce Mortgage Planning into your divorce settlement can facilitate the process of obtaining new mortgage financing post-divorce.
Get Your Free Divorce Mortgage Workbook: Contact me today for a copy of my "Divorcing Your Mortgage Homeowner Workbook," a comprehensive guide to credit, real estate, and mortgage financing after divorce. This workbook will help you stay organized, be prepared, and understand your mortgage financing position, whether you need to refinance the marital home in an Equity Buy-Out situation or prepare to sell and purchase a new home post-divorce.
Role of a CDLP® in Divorce Mortgage Planning: A CDLP® can help divorcing homeowners make informed decisions about their home equity solutions and identify potential conflicts between the divorce settlement, home equity solutions, and real property issues.
The Holistic Approach of Divorce Mortgage Planning: Divorce Mortgage Planning is a comprehensive approach to evaluating mortgage options within the context of overall financial objectives related to divorce. Working directly with the divorce team, a CDLP® understands the intersection of divorce, tax, real estate, and mortgage financing. The CDLP® helps integrate the selected mortgage into long and short-term financial and investment goals, minimizing taxes, reducing interest expenses, and maximizing cash flow.
Benefits of Involving a CDLP® Early: Involving a Certified Divorce Lending Professional (CDLP®) early in the divorce settlement process can help set the stage for successful mortgage financing in the future.
Conclusion: Navigating the real estate aspects of a divorce requires careful planning and professional guidance. Involving a CDLP® early in the process can ensure a smoother transition and better financial outcomes for both parties.
Disclaimer: This information is for informational purposes only and not intended as legal or tax advice. Contact an attorney or tax professional for legal and tax advice. Interest rates and fees are estimates and subject to market changes. This is not a commitment to lend. Rates change daily—call for current quotations. The information in this newsletter is prepared by an independent third party and distributed for consumer education purposes.
Copyright 2021—All Rights Divorce Lending Association
