Sorting out your mortgage during divorce
Divorce can be an incredibly stressful time for couples and the financial impact it can have only adds to the pressure. The number of couples getting divorced surged by almost a fifth in 20191. Although data for 2020 has not yet been released, after the strains of the last year or so, unfortunately it would hardly be surprising if this is a trend we see continue as we progress through this year.
Many family lawyers are predicting a post-lockdown divorce boom. In fact, according to Citizens Advice2, visits to its divorce webpage were 25% higher in the first weekend of September 2020, compared with the same period in 2019. Dividing the family home For couples who own their home, one of the biggest decisions they face is what to do with As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments. the property. There are several routes you can take:
• Selling your home and dividing the proceeds – you may both be able to afford another home using your half of the profits
• One partner buying the other out – if it is affordable, one partner could purchase the other partner’s share in order to take ownership of the entire property
• Keep the ownership of the property unchanged until a later date – you might choose to keep the property under both your names and sell up once your children have left home, for example.
What if we can’t decide?
If you can’t agree on the best course of action, then a court will decide for you. The courts place the wellbeing of any children at the heart of their decision and will choose the option that causes as little disruption to their lives as possible.
Helping you move forwards
If you are looking for a new property following a divorce, we’re here to assist you in getting the most suitable mortgage for your circumstances. We understand the stress divorcing couples will be under and are here to make the process as straightforward and streamlined as possible.
2Citizens Advice, 2020
As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments.