How are Mortgages Handled during Divorce Litigation?

When it comes to mortgage opportunities for divorcees, there are several options to consider. It’s important to note that being a divorcee does not disqualify you from obtaining a mortgage. Your eligibility will depend on factors such as income, credit history, and assets. Here are a few options to explore: 

  1. Individual Mortgage: If you have a stable income and a good credit score, you can apply for a mortgage as an individual. Lenders will assess your financial situation based on various factors to determine your eligibility. 
  2. Co-signer or Joint Mortgage: If your income or credit situation is not strong enough to qualify for a mortgage on your own, you may consider finding a co-signer or applying jointly with a trusted individual, such as a family member or close friend. The co-signer’s income and creditworthiness can help strengthen the mortgage application. 
  3. Divorce Buyout: If you’re going through a divorce and wish to retain the family home, a divorce buyout is an option to consider. This involves refinancing the existing mortgage to remove your former spouse’s name and obtain a new loan solely in your name. There are many products that exist including income and non-income qualifying. 

It is crucial to consult with a mortgage professional or financial advisor who can assess your specific circumstances and provide personalized guidance. They will consider your financial situation and local regulations to help you navigate the mortgage application process successfully. 

 Adam Dratch is the Branch Manager for Advisors Mortgage Group located in Hazlet, New Jersey. Dratch graduated from Kean University with a degree in Management Science and has 22 years of experience in the real estate industry with 11 years of experience specializing in mortgage origination. He is licensed in New York, New Jersey, Pennsylvania, and Florida. Dratch strives to build strong relationships with customers in order to better guide them into home ownership that is financially sustainable and secure.