Refinancing to Cash Out your Ex-Spouse

January 14, 2022 by Leave a Comment

Refinancing to Cash Out Your Ex-Spouse and DivorceIf you’re a homeowner who is going through a divorce or a dissolution of domestic partnership, there are some things to know about using the equity from your home to “cash out” your ex-spouse.

When someone uses a refinance to take equity out of home to provide to ex-spouse, lenders will make an exception and treat the transaction as a “limited cash-out” refinance instead of “cash out” refinance. This provides slightly better pricing with the interest rate and may allow for a higher loan amount, if needed. [Read more…]

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Paying Alimony? You May Want to Consider an FHA Insured Mortgage

July 15, 2010 by 3 Comments

UPDATE: You no longer have to FHA if you’re paying alimony... Fannie Mae and Freddie Mac have updated their guidelines. Check it out here!

Most mortgage originators know that if you have less than 10 payments remaining with alimony or child support payments, it may not have to be factored into your qualifying ratios (debt to income) as long as the payment doesn’t impact your ability to pay the mortgage following closing.  A borrower needs to be well qualified with plenty of savings for an underwriter to support this guideline. [Read more…]

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Breaking Up is Hard to Do…Especially When You Own a Home Together

July 20, 2009 by Leave a Comment

I’ve written articles before about issues to consider if you’re going through a divorce and have a mortgage…what if you were never married?  Couples (or single people) often buy homes together…what if worse case scenario, it doesn’t work out and one party wants to keep the home? [Read more…]

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Divorce, your mortgage and your credit

June 11, 2007 by 11 Comments

Whether you’re married or are a couple who own a home together and are now facing a separation, dissolving a partnership is never easy.   Even if both parties are amicable and agree to the break up, it is a very emotional time.  You may just be thinking about who gets to keep the house…or you just may want out and not even care about the property.   Your mortgage and credit history is probably the last thing on your mind…however, you may want to consider protecting the credit that you’ve worked hard for.  [Read more…]

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