Bassi, Vreeland & Associates, P.C.
Local Experience for over 70 years

Mortgages should be handled with care during divorces

When couples in Charleroi, Pennsylvania, consciously uncouple and proceed in an orderly manner to divorce court, they tend to want to know how family law will affect the division of their assets. The biggest asset tends to be the family home, which in turn often carries a mortgage. If one of them keeps the house, they may wind up keeping the hefty mortgage payments as well, making being the sole homeowner seem a lot less attractive than it would if the mortgage was already paid off.

For that reason, divorcing couples with mortgages often just sell the home that the mortgage is on. That way, the net proceeds of the sale can be divided between the couple, rather than dealing with issues like its current value, projected future value and cost of mortgage payments. Although that is a very practical approach, some individuals insist on keeping the house due to sentimental reasons, like it being where Little Betty and Little Bobby took their first steps, or for less admirable reasons, like the fact that keeping the house can feel like winning to the individual who gets it.

If one person does get the house, he or she can pay the other person half of what the net proceeds from a sale would be, and then refinance in his or her own name only. The advantage to that approach is that they are then the sole owner of the home. The disadvantages of that are that they are faced with making a sizeable immediate payment to the other person and will have to make mortgage payments on their own from that point forward.

In some circumstances, one member of a former couple may be able to get sole ownership of the home while the other member of the former couple is tasked with making mortgage payments. However, this can be problematic, because if the ex misses payments, that can adversely affect the one who got the home.

Source: Money, "What Happens to Your Mortgage in a Divorce?," Ashley Eneriz, accessed March 06, 2018

No Comments

Leave a comment
Comment Information

Contact Us Today To Discuss Your Case

Bassi, Vreeland & Associates, P.C., has fully staffed offices in both Charleroi and Washington, and we serve clients throughout southwestern Pennsylvania. To discuss your legal needs with our experienced lawyers, call us at 724-705-0146. You can also send us an email.

Email Us For A Response

Charleroi Office
111 Fallowfield Avenue
P.O. Box 144
Charleroi, PA 15022

Phone: 724-705-0146
Fax: 724-483-1629
Map & Directions

Washington Office
62 East Wheeling St.
Washington, PA 15301

Phone: 724-705-0146
Fax: 724-483-1629
Map & Directions

Contact Us Today

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy