Navigating Divorce: Why Partnering with a Mortgage Professional is Crucial

By Marie C.M. Roy, Direct Mortgage Loans

Couples Solutions Center - Why Partnering with a Mortgage Professional is Crucial

I first want to thank Kristyn Carmichael and the Couples Solution Center for inviting me to write this post. I am honored to be a resource to all couples facing a dissolution of their marriage.

I would like to start with a quick personal story. I started my own divorce journey in 2020. We owned a home and the decision was made to split our equity and for me to move into a new home. I found a beautiful neighborhood I knew I wanted to live in, but was clueless on how to proceed. Although I had owned three homes prior to this, I was never directly involved with the details. More like, "sign here Marie and I'll take care of the rest." Fortunately for me though, I started with a real estate professional who recommended me to other professionals. For me, the person in the transaction that put my mind most at ease was my lender. I will never forget the compassion and grace that she showed me as I stumbled through trying to understand each step of the transaction. She always answered her phone personally and turned a daunting experience into a genuinely positive experience. She partnered with my realtor and mediator, and helped me avoid mistakes that could have been disastrous given my circumstances. My commitment is to emulate this experience for all of my clients. Whether I am helping a client going through a divorce or otherwise, my goal is to always be available and to always take the time to make sure that they are comfortable, informed, and confident.

Going through a divorce is undoubtedly one of life's most challenging experiences. Amidst the emotional turmoil, there are practical considerations that require careful attention, especially when it comes to jointly owned properties, mortgages and/or purchasing a new property. The expertise of a mortgage professional can be invaluable. Let's dive into why partnering with a mortgage expert during a divorce is essential. In my case, it made all the difference.

1. Understanding Mortgage Implications:

Divorce often involves dividing assets, including the family home. However, it's not just about who gets the house; it's also about the mortgage tied to it. A mortgage professional can help both parties understand the implications of keeping or selling the property, refinancing options, tax implications, and how it affects credit scores and financial stability.

2. Navigating Complex Financial Situations:

Divorces can unravel complex financial situations, especially when there are joint debts and assets involved. A mortgage professional can provide clarity on mortgage responsibilities, potential tax implications, and assist in creating a financial plan that aligns with each party's post-divorce goals.

3. Neutral Party & Professional Expertise:

In contentious divorces, negotiations over property and assets can quickly become heated. Having a mortgage professional act as a neutral party can ease tensions and facilitate productive discussions. Their expertise in mortgage matters allows for fair and informed decisions to be made, benefiting both parties in the long run.

4. Customized Solutions:

Every divorce situation is unique, and there's no one-size-fits-all solution. A mortgage professional can assess each party's financial situation, future housing needs, and goals to tailor solutions that best suit their individual circumstances. Whether it's refinancing, selling, restructuring mortgage terms, or purchasing, personalized guidance is key.

5. Avoiding Costly Mistakes:

Making uninformed decisions during a divorce can have long-term financial repercussions. From overlooking hidden costs in refinancing to failing to remove a spouse from the mortgage, mistakes can be costly. By working with a mortgage professional, both parties can mitigate risks and ensure a smoother transition to post-divorce financial independence.

Divorce is a challenging journey, but with the right support, it can also be an opportunity for a fresh start. Partnering with a trusted lender during this time is not just about navigating the complexities of property and mortgages, it's about empowering individuals to make sound financial decisions that set the stage for a stable future. If you are facing a divorce and have a property or mortgage that will need to be divided and/or would like to buy a new home, I urge you to reach out to me to discuss next steps. I am committed to walking down that path with you and making it a positive experience.