Real Estate and Divorce: What Should I Do About the Mortgage

It is easy to get your name off the deed/title, but not off the mortgage. If you leave your name on the mortgage with a spouse, it will make it harder for you when applying for a loan to buy your new home.

Both of you can ruin your credit score fast if one of you takes the title, but both of you are still on the mortgage.  And if the spouse who’s keeping the house isn’t able to make the mortgage payments, your credit score will also be negatively affected.

  • If you’re keeping the house, you should refinance into a new mortgage loan, meaning you should be qualified to apply for the loan application separately and pay the refinancing fees along with the risk of paying higher interest rates.
  • Now, if both of you would agree, the spouse moving out can agree to keep his/her name on the mortgage for a time so that you can keep the home in order to apply for a new loan.

The Adam Mills Real Estate Team are experts in helping families amicably separate and find the right option for moving on with their lives. If you are interested in learning more about buying or selling a home during or before a divorce please contact us today for a free home evaluation. 

Getting a divorce is always tough, both emotionally and economically. To alleviate some of the stress, please check out our book Navigating Selling Through Separation. Click the link below to learn more about how you can get a copy, and uncomplicate the process. 

Adam Mills and his team have been in business for over ten years and have a proven track record for success. Our team is comprised of knowledgeable and experienced professionals who are happy to help you navigate the ever-changing Ottawa real estate market. Please contact us at 613-825-7653 or email us at