Both individuals on the loan are still legally liable for mortgage payments, and if one person doesn't pay, the other will be impacted. A divorce agreement should specify who is responsible for payments, but there's a risk that one party may not follow such an agreement.
Joint mortgage responsibility
If both spouses' names are on the mortgage, then both must keep paying, even if one leaves. Whether the spouse lives in the home or not, they remain financially tied to the mortgage until they pay it in full or it gets legally modified.
The consequences of abandonment in a marriage can influence divorce proceedings, affecting property division, spousal maintenance, and the emotional well-being of the abandoned spouse. In addition, the abandoning spouse may be held financially responsible for aspects like child support and property division.
IF there is a court order requiring her to pay the mortgage, you may be able to bring a Contempt action against her. Normally, divorce attorneys include a requirement that the party retaining the home must refinance it within a certain time frame, so you could have acted sooner to prevent the foreclosure.
How does divorce financially affect women? Generally, women suffer more financially than do men from divorce.
When a borrower fails to make mortgage payments as agreed upon in the loan contract, the mortgage lender will seek to obtain ownership of a property through a legal process called a foreclosure. Technically, California uses trust deeds, rather than mortgages, meaning the foreclosure is known as a “trustee's sale.”
Beyond the possession of valuable assets within the home, you may be losing easy access to important information and any children who reside in the home. Consider how moving out during a divorce may affect your access to important paperwork, including vital records and financial information.
Spousal Support Rulings
Additionally, the parent who moves out will likely have more expensive alimony and child support payments to make, especially if not having custody of the children. This could make it difficult financially for many years to come once orders are set.
If your husband refuses to leave the marital home, it's advisable to seek legal advice. You may need to file for a legal separation or divorce and request a court order for exclusive use of the home.
Unlike in a divorce, spouses who are legally separated are still married, though they will also have a larger degree of financial independence compared to when the marriage was still intact. However, much like in a divorce, one spouse may be obligated to pay spousal support to the other while living apart.
If your marriage or civil partnership ends, you can ask for financial support - known as 'spousal maintenance' - from your ex-partner as soon as you separate. This is in addition to any child maintenance they might have to pay.
You can take legal action against them for breaching the agreement you both made or seek a court order to force the sale of the property. It's important to consult with a lawyer to understand your legal rights and options and to make the best decisions for your situation.
If your spouse passes away, but you didn't sign the promissory note or mortgage for the home, federal law clears the way for you to take over the existing mortgage on the inherited property more easily.
If you took out a mortgage to buy a house while married, that debt is community property. You're both responsible for it. If you bought a car with money that only you earned while married, the car is community property even though the money used to pay for it was earned by you and not your spouse.
There are two ways to remove a divorced partner from a mortgage: obtaining a release of liability from the lender or refinancing the mortgage. A release from liability is easier, but counts on the lender granting permission.
When that occurs, the spouse remaining has certain rights and protections, as does the spouse moving out. The remaining spouse has every right to change the locks and keys to all entrances and exits and/or any security or alarm system and passcodes.
“Walkaway wife syndrome emerges whenever a wife who is emotionally detached and unhappy abruptly breaks off her marriage,” says Holly J. Moore of Moore Family Law Group. “It may seem abrupt to the [partner] but women generally think about divorce for several years before actually leaving.
Mistake #1: Waiting Too Long to Get a Divorce.
Or as a parent, you may make decisions that are not in the best interest of your children. We can help you avoid most of these mistakes by starting the planning process early.
There is a good body of research on the subject that shows women bear the heaviest financial burden when a couple divorces.
Negotiate with Your Spouse: If you and your spouse are on good terms, you can negotiate a settlement agreement that outlines the terms of your divorce. This can save you both time and money. Sell Assets: If you have assets, such as a home or car, you can sell them to generate funds for your divorce.
While every divorce outcome is unique in some way - and while divorce outcomes for women have improved - women still tend to lose more during a divorce than men. About a quarter of women will fall into poverty after divorce.
If Your Spouse Isn't Paying the Mortgage
The bottom line is that your soon-to-be ex remains just as financially responsible for your shared mortgage as he or she was before (even if only you are living there while your divorce is pending).
If you inherit a house with a mortgage, you can sell the house or assume the mortgage yourself. You should determine the equity and costs before making any final decisions. You might also consider refinancing to lower the interest rate or monthly mortgage payments.