As your divorce reaches its conclusion, you are likely making plans for your future. You’re ready to move on and often part of that is finding a home to buy. Buying a new home can signal a fresh start and independence. However, jumping into a mortgage during or soon after your divorce may be a bad idea.
You may find, after spending time searching for homes, and even after placing a deposit, that you do not qualify for a mortgage. How is this possible if your income is high enough and you have a good credit rating? If your name is still on the mortgage for the marital home, you are likely to run into problems. Even if your divorce has made your spouse responsible for that mortgage, you are still liable to the bank for the marital mortgage and taking on another mortgage will be viewed as risky by banks. If this is the case, talk to your attorney about your options for getting your name off that first mortgage.
Taking out a mortgage soon after a divorce may also not make sense until your financial situation has time to settle. You may not even have a good sense of what your monthly income and expenses truly are at this time of flux. You also may be paying child support or spousal maintenance for the first time which will greatly impact your finances. Most experts suggest waiting six months to a year before doing something as serious as taking on a mortgage.
When considering your plans for the future, be sure to get solid advice from your legal team. The Sampair Group is not only your divorce team, but your advisors. We represent clients in Maricopa County. Call us for an appointment with one of our knowledgeable attorneys now.