What Happens to a Mortgage After Divorce in Wisconsin?
What Happens to a Mortgage After Divorce in Wisconsin?
Figuring out what to do with a house that has a mortgage on it after divorce can be daunting. This is a question that comes up at a time when your life is probably in turmoil, and the last thing you want to do is deal with a mortgage.
When it comes to the mortgage, it can mean that the division of the equity in it has to be determined. Then it may mean trying to decide whether the home is to be sold or not. There may also be liabilities regarding the home that have to be dealt with.
What Are the Responsibilities for the Mortgage After Divorce?
Responsibilities for the mortgage after divorce are not something that most people deal with on a regular basis. It is understandable why there would be so many questions that arise pertaining to it.
One of the common questions is whether the house has to go through a sale so the equity can be divided. There is an alternative to this where one party can buy out the other. If this is the route that is taken, usually the spouse that is going to buy the home will have to go through a mortgage assumption so they can pay the other spouse their share of the equity.
What has to be decided quickly when it comes to dealing with the mortgage after divorce is who is going to be responsible for paying it.
Who Will Pay the Mortgage?
If the mortgage has been held jointly, then legally both spouses are equally responsible for making payments. If the mortgage is not paid, the lender can come after both parties.
During the divorce agreement, it should be legally determined who is going to assume the mortgage payment responsibility. There are times where agreements are made between a couple to just transfer the title to the other partner. This can be done with a quit claim deed.
This means the party signing over their ownership will no longer have any claims to the property. That does not mean that the spouse giving up their rights to the property is no longer responsible for the mortgage after divorce.
To prevent this there has to be a transfer of liability. This can be done by the spouse who is taking ownership by taking on a mortgage assumption or arranging for a loan modification after divorce.
In most cases, the better route to take is to assume the mortgage which will then have the responsibility for paying it moved over to the spouse who is going to keep the house.
This will only work if the spouse applying for the mortgage assumption meets the criteria put in place by the mortgage lender. If this is the case, then it may be possible to obtain a home equity loan for refinancing.
What If the Value of the Home Is Lower Than the Mortgage?
Not every couple going through a divorce is going to make a profit from the sale of the home, and that selling it will clear off the mortgage. There are times where the value of the home is lower than the mortgage.
If the buyout partner cannot qualify for a loan modification after divorce or come up with other ways to buy the house, then it creates a difficult situation.
What could possibly be arranged is putting off the buyout or selling the house. It means an agreement would have to be reached to this effect by the two spouses.
If you are trying to sell your Wisconsin house after a divorce, Fair Deal Home Buyers will give you a cash offer as soon as 24 hours! To get your cash offer, or to get answers to any questions you have, call us at 414-409-8251. There are no obligations in contacting us!
Everyone that I worked with was genuine and helpful through the whole process. I think highly of the company and everyone I talked with in person and by phone/text. I highly recommend this company.
We have enjoyed working with everyone from Fair Deal Homes. Everyone from you and Peter, to the inspectors, to Jackie at the title Co, were all a pleasure to work with.
This was an awesome experience. Fair Deal Home Buyers were exactly that--fair dealing. Peter and Shan were both excellent in helping us, explaining the process, and providing a smooth transaction. This was an excellent experience from start to finish. I could not be more pleased! Totally first rate all of the way!! Thanks, Fair Deal Home Buyers!!
This was a great process for me there were no hidden things that came up everything that was said at closing was delivered the staff was very helpfulf especially Beza she was awesome. I would highly recommend fair deal to anyone.
It was very enjoyable working with this company . They are very understanding . Hard working and move as fast as you want them too. I would definitely use this company again. Thank you very much Ben have a great day!!
The process was way easier than I ever would have thought! Fair Deal is by far the way to go! Everyone is super helpful, up front about everything truly top notch the list goes on! From the first phone call to start the process of selling to the closing was nothing less than perfect! Beza was super helpful and prompt on any ? Or concerns we had.
Fair Deal Home Buyers were excellent to work with in selling our home from start to finish. They were upfront and honest through out the process. I highly recommend them.
Everything went smoothly and everyone made time for our work schedule as well for our dogs scheduled I would recommend fair deal home buyers LLC to all who seek to sell there home thanks to all who helped
I recently had the pleasure of working with Ina at Fair Deal Home Buyers, and I must say, it was an outstanding experience from start to finish. Ina's professionalism, expertise, and genuine care for her clients truly set her apart. I wholeheartedly recommend her services to anyone in need of assistance. Thank you, Ina, for your outstanding help!
My experience with Fair Deal Home Buyers was extremely professional and highly ethical. The entire team communicated daily with any updated information needed to streamline my selling process. I recommend Fair Deal Home Buyers for those in search of a highly ethical, professional, and team oriented real estate company.
If you are looking to sell your house, Fair Deal Home Buyers LLC are very professional and they won’t try to low ball you on the value of your property. Very respectfull and helpful when you have questions or concerns. Beza was my main contact and she was wonderful and prompt getting back to me with the questions I had and processing the paperwork. If you are looking to sell your house, give them a call, you won’t be disappointed.
Polite courteous very professional staff everybody I work with there understood my needs and worked in cooperated to make sure that they happened . I would highly recommend them to anybody.
Each person was easy to work, very professional. The process was quick and went smooth each step of the way. Would recommend Fair Deal Home Buyers to anyone who looking to quickly sell their home
If you find yourself needing to sell your house quickly and want to work with trustworthy home buyers who offer fair deals and exceptional service, Fair Deal Home Buyers are definitely the way to go. I couldn't be happier with the outcome. Give them a call, and you won't be disappointed.
Fair deal home buyers are a life savers, I had an urgency to sale my parents house that I inherited and had some complications with the POA but Amir Erez was so helpful speeding up the process with their lawyers and in three weeks they closed on my house and I got cash in my hand to be able to move on. Thank you guys for your help. Definitely recommend it.
Our experience selling our home with Fair Deal Home Buyers was a positive experience. They were quick, efficient, and worked with us, even though we were no longer in town.
We had such a great experience working with Nina. She made the process so easy! She presented our options clearly so we were able to make an informed decision to sell our house quickly. She listened to us and paid attention to every detail - HIGHLY recommend!
As a buyer from fair deal, I would recommend them! They were fast in their communication, kind in their interactions and clearly seems to have everyone’s best interests at heart. Working with Tiffany was a great experience. I love working with people who are kind, fair and clear in their communication. I’d recommend them to others, and have! -Dave
Fairdeal Home Buyers is an outstanding company. The process with them was seamless with no surprises at all. They closed in a timely fashion and I received my asked for my property.
I am very happy with the service I have receive from Fair Deal Home Buyers. The whole procces has been very simple and easy to understand. I'm moving in from out of state and i don't think I could have found a easier and better way to move in to my new home. Thank you so much.
I recommend Fair Deal Homebuyer well detailed information about what to expect from them it was fast deal they offer and we agree .It was really fast and fair
They are great to work with. Professional, kind, responsive and straight forward. I learned getting a cash offer for a house does not have to be complicated or take a long time, thanks again!