How a Divorce Can Affect Your Mortgage

Affording a mortgage independently now that you have become a single-family home requires a plan. Continue reading to discover the top tips for managing a mortgage after your divorce has been finalized. If you have any further questions about this process, do not hesitate to reach out to our experienced divorce attorney. We would be happy to answer any questions you may have regarding the post-divorce process.

Utilize Professional Help

Finances require professional help, especially when it comes to serious topics such as a mortgage. Utilize professional guidance for issues such as mortgage refinance rates and being bought out of your home. It is essential to access professional help to maintain your credit score throughout this process. It is possible for a divorce to negatively impact your credit score now that you are a single-income household. Professional help will include being removed from joint accounts with your former spouse and ensuring any accounts are dissolved when possible. This process will protect your credit.

Adjust Your Numbers Accordingly

Pursuing a new mortgage may seem simple, but one of the first steps you should take is to adjust your numbers and budget. A new mortgage also means a new financial situation. This adjustment will take time, but it is important to be aware and familiar with your new budget and spending habits. It is also important to understand that your new sources of income such as alimony and child support will have an effect on your allowance and approval.

Re-Examine Your Habits

Finalizing your divorce will require you to re-examine your lifestyle choices and habits by examining your spending and saving habits. One of the best ways to do this is to consolidate your debt and make decisions regarding your home. You may even want to begin the house-hunting process to downsize. Re-examining your lifestyle may require professional assistance to adjust your habits to mirror your new financial situation.

Collect all of Your Official Documents

One of the most important steps in this process is to secure a new and revised mortgage by having a divorce decree to present. Having all of your official documents available is essential. A divorce decree allows you to move forward in life without being tied to your former spouse once your divorce has been finalized. This is also important for changing other important documents such as your Social Security and ID.

Contact our experienced Bergen County firm

At Townsend, Tomaio & Newmark, our attorneys have extensive experience helping clients to understand and protect their legal rights before, during, and after the divorce process in towns across New Jersey and Bergen County, including Hackensack, Ridgewood, Paramus, Teaneck, and Fort Lee. To speak with our team of divorce lawyers today in a free and confidential consultation regarding your concerns about your divorce, please contact us online, or through our Hackensack, NJ office at (201) 397-1750.

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