If you have a joint mortgage with your now ex-partner, it's not always clear what you should do. Here’s everything you need to know.

How a divorce affects your mortgage

Selling the home will relieve both spouses of the financial obligation, and require that they split the profit. This way both people can put a little money in their pockets they can use to start their lives independently of each other. If the house sells for less than what is owed on it, the spouses can work together with their lawyers to determine how to split the remaining balance on the home.

The bottom line is that banks are not going to care if the couple on the loan is divorced or not. They are not going to care who is living in the property and who isn't, so long as the mortgage gets paid. If the mortgage does not get paid, steps to foreclose on the home will be taken, which will harm both spouse's credit rating, making it far more difficult for them to purchase another home in the near future.

Hi,when a couple gets a mortgage loan together, they don't necessarily count on what is going to happen if they get a divorce, because no one ever plans to get one. It can be a sticky situation, especially if both spouses want to keep the house. Regardless of who is going to move out and who is going to stay, the idea of how the change of situation will impact the credit score--and thus the ability to get another mortgage after the divorce--is something many couples find themselves worrying about when faced with divorce.
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