A divorce can be a painful experience, and what can make the dissolution of marriage even trickier is the matter of the house. Who will keep it? Should it be sold and the profits split evenly? Should both keep it and split the expenses? You can find answers to these questions below.
Refinance to Keep it Alone
To resolve the matter, you can keep the home for yourself by refinancing the mortgage. A refinance on your Lake Oswego mortgage, for example, will remove your ex-spouse from your home loan. Primary Residential Mortgage, Inc. added that the refinance also pays off the old mortgage and replace it with a new one. Finally, you also gain funds to purchase your ex-spouse’s equity share.
Refinance for Credit Protection
Even when you lose the house to your ex-spouse, a refinance can still be a good option. With your removal from the mortgage, you essentially protect your credit from potential hits if you stayed within the mortgage. In such a case that you remained, if your ex-spouse defaults on the mortgage, your credit can take a hit. A refinance prevents that possibility.
Sell for Easy and Complete Separation
Aside from a refinance, you and your ex can also choose to sell the home and split the profits. When you sell, you will still have to settle mortgage debt, pay the necessary taxes, and deal with other sale-related expenses. Selling, however, allows both of you to untangle easily in regard to the home property.
Keep it Together for the Meantime
Finally, you can both choose to keep the house and share equal responsibility for paying the mortgage. Joint ownership can be beneficial in many ways like the transitions during and after your divorce. After a few years, you can still decide to sell the house or choose which of your kids will keep it.
With the three options above, you can easily deal with the house matter without much confusion. You will now know which option will work best for you and your ex or for yourself alone. Divorce can then be less painful when the house can easily be dealt with.