You're buying a … When it comes to divorce , the reasons why a spouse may choose to end the marriage are as diverse as the couple themselves. Additionally, you may find that there are consequences to keep in mind as it relates to borrowing money to purchase a new home. Your email address will not be published. .su-cta-action a:hover { padding: 0 15px; Save 2% On Your Home Purchase There are exceptions to this rule, but those exceptions need to be supported by evidence. It is up to you in order to determine the details inside the divorce. display: inline-block; For example, if you are wanting to purchase a home whose monthly mortgage payment would be $2,000 a $3,000 monthly income stream would not allow you to be loaned enough money to purchase that home. text-decoration: none; .su-cta-action { If you have any questions about the material that you have read today please do not hesitate to contact our office. background: #f3f3f3; You probably were able to select, for example, a date of month that your credit card bill was to be paid. .su-cta-content { Either way, the process can’t move forward without the nonborrowing spouse’s signature. It can alter the types of retirement accounts you’re eligible for. Otherwise, during the divorce, your husband could claim that the property was purchased with marital funds and that he is entitled to a share.If you are buying a house or a car, you have to make sure that it is bought with your own separate funds, not marital funds. You should also consider buying a house without your spouse if you simply want to keep an investment property as separate vs marital property, assuming that your pre-nuptial agreement allows it. The more income you have the more (theoretically) that you can be loaned by a mortgage lender. That means that one of you would be paying the mortgage off of your own income alone. Whether or not this is financial feasible for either of you to do will determine whether it is even an option that you can choose to undertake. Terms of Use and Privacy Policy. text-align: center; .su-cta-action a { If debt has a become a part of your lifestyle then you are undoubtedly familiar with how loans are made to be paid back on a schedule. } @media screen and (min-width: 992px) { Houston, TX 77068. I am thinking of Fair Housing Administration (FHA) and Veterans Administration (VA) loans, specifically. flex: 0 0 73%; } Otherwise, the house will likely need to be sold as a part of the divorce. TX } line-height: 18px; Contact Us. Principal Office: 148 Lafayette Street, New York, NY 10013. Disclosure: Hauseit® and its affiliates do not provide tax, legal, financial or accounting advice. No representation, guarantee or warranty of any kind is made regarding the completeness or accuracy of information provided. } Square footage numbers are only estimates and should be independently verified. That means if you attempt to take out a loan, like a mortgage, that lender will be able to see that you have become woefully behind on another credit account. } margin-bottom: 0; .su-cta { .su-cta-content { It is probably better to wait until you are divorced, or at least file for divorce before buying a house or a car. } padding: 13px 19px; Talk with your lawyer about your options and whether or not it would be in your best interests to remain in the house after the divorce has concluded. Often times the lender will be able to accept a quarter on the dollar (or less) if you come to them in good faith and make them a settlement offer. flex: 0 0 27%; There are obvious financial implications to making this decision. There are emotional, relational and other ramifications of doing so as well that you may not be considering. margin-top: 0; border-radius: 5px; A mortgage lender will likely need to run a credit check of your spouse even if she is not a part of the mortgage application. As I went over with you a moment ago, lenders consider a number of different factors when determining how much money (if any) should be lent to you in the form of a home mortgage. Let’s take some time to go over what those situations may be. line-height: 18px; background: #f3f3f3; When this happens they have the ability to go into your credit report and make a mark against you. Considering common things that we have all to deal with: utilities, credit card debt, student loan payments, etc. .su-cta-content, 3707 Cypress Creek Parkway, Texas is a community property state. color: #3a3a3a; text-align: center; box-sizing: border-box; Learn More, .su-cta { border-color: #b8b6b8; This will impact your ability to be loaned money in the future. align-items: center; There are obvious financial implications to making this decision. The alternative would be to bring your spouse into the borrowing equation. background-color: #b8b6b8; You may be able to find a mortgage lender who does what is called “manual underwriting”- where more than just the credit score is checked. margin-top: 0; } It is up to you in order to determine the details inside the divorce. justify-content: space-between; margin-top: 0; Talk with your lawyer about your options and whether or not it would be in your best interests to remain in the house after the divorce has concluded.