Case Study 12- Foreclosure with a Divorce
Selling a house while in a divorce can be bad enough. Losing the house to foreclosure while fighting the Divorce can really rub salt in that wound. Life can have all kinds of surprises, don’t let your life changes turn out like this case study could have. Call us before this happens.
This couple in the Bonaire Georgia area decided it was time to go separate ways. The wife moved to California near her parents and the husband stayed in the house and started a new life. Since the couple bought the house together, even though they got a divorce, they still shared ownership and responsibility of the mortgage on the house. The husband paid the mortgage himself, until he lost his job and was no longer able make the mortgage payment. The husband and wife did not like communicating to each other for anything, so when the bank threatened to foreclose, you can guess what happened… right, nothing.
Since the couple was divorced, the wife didn’t think a foreclosure would affect her. She did not realize when she signed the mortgage she was committed to the house in Bonaire until it was paid off. Even though she is divorced from the person living at the house, she will still get a foreclosure reported to her credit report also.
Luckily for this couple, the husband contacted us and with the help of the divorce attorneys keeping the peace, we were able to solve this foreclosure problem before the bank took back the house.
Some points to remember.
If you and your spouse qualify and buy a house together, then both parties are bound to that mortgage until it is paid off, even after a divorce.
If you and your spouse are having problems and are thinking about divorce, be responsible. Getting mad and not thinking thru all your options can make a divorce worse and could become the cause of a foreclosure. If that happens and the house is foreclosed, it will be reported on the credit report for both parties.
Credit can affect getting a job, renting an apartment and many other aspects of your life. A foreclosure can make life harder when it hits your credit report. Don’t let a foreclosure add to the problems in a divorce. Call us and let us help make some of the process easier.