Divorce and mortgages - what you need to know

Whilst we are often involved in the most exciting times of our clients’ lives, buying their first home, or moving to the “forever” home, we also help with the more stressful periods as well. One of these is a divorce or relationship breakdowns.

Going through a divorce or a relationship breakdown can be one of the most stressful things you can do and if there is a mortgage and property involved, it can make it even worse. We often receive enquiries from both new and existing clients to help them if this situation arises.

One of the questions asked is if it is possible to “buy out” a partner on a joint property. This can be done, but unfortunately many couples rely on both incomes to be able to afford the mortgage. This means that moving the mortgage into a sole name is rarely affordable. This invariably leads to a sale of the property, which can be an expensive process, especially if the mortgage currently has early repayment charges which can often run into thousands of pounds.

The most important thing in this sort of situation is to get expert advice as early as possible, so that all parties know what they can and cannot do and can begin to plan for their future. At Barlow Irvin Financial Services, we have helped people in these situations and are, in fact, instructed by solicitors to provide what are known as Mortgage Capacity Reports; a detailed, in-depth assessment of your mortgage borrowing capacity.

Please do not hesitate to reach out to me for a confidential discussion if you need help and advice.

As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments.