Every year, many married couples in New Jersey decide they no longer want to stay together. When a divorce is on the horizon, it can mean dealing with a lot of new situations. Unless you and your former spouse plan on living together, you’ll both need to refinance this marital property.
Refinancing a home before filing for divorce
If possible, it’s advisable to try and refinance a marital home before filing divorce papers. By doing this, you can refinance a property with your lender while you’re still technically married. When this is the case, it’s much easier and faster to remove a soon-to-be ex-spouse from your mortgage.
Refinancing a property after filing
Some couples choose to refinance a marital home after filing for divorce. If this is the case, someone has to inform your mortgage lender of you and your spouse’s separation. This means that there now must be a written agreement signed by you and your former spouse before a lender can provide any help. If one spouse is paying the other, the amount getting paid must also be in this document.
Refinancing a marital home post-divorce
Refinancing a marital home is also possible after a divorce gets finalized. Unfortunately, this option can also get complicated. If this happens, mortgage lenders typically factor in alimony, child support, and other divorce-related monthly costs into your new rates.
As you can see, there are a few options divorcing couples have for refinancing their marital home. If possible, it’s best to refinance this property as early as possible in the divorce process. Should you face difficulties trying to divide marital property, it could be wise to contact a divorce attorney.