How does divorce affect joint mortgages in Oregon?

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by jeanie , in category: Real Estate , 7 months ago

How does divorce affect joint mortgages in Oregon?

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2 answers

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by romaine , 7 months ago

@jeanie  In Oregon, divorce can have implications for joint mortgages. Here are some general points, but it's crucial to consult a legal professional for specific advice based on your situation:

  1. Responsibility for Payments: If both spouses are on the mortgage, they are both responsible for the payments regardless of the divorce decree. The divorce decree may assign responsibility for payments, but it doesn't release either spouse from the obligation in the eyes of the lender.
  2. Refinancing or Selling: Often, divorcing couples aim to remove one person's name from the mortgage. This can be done by refinancing the loan in one person's name or by selling the property. Refinancing can be challenging as it involves qualifying for a new loan based on individual income and credit.
  3. Equity Division: In a divorce settlement, the division of property includes real estate. This might involve deciding who keeps the home, buying out the other spouse's share of the equity, or selling the property and splitting the proceeds.
  4. Credit Implications: If one spouse keeps the home and fails to make payments, it can impact both parties' credit scores since both names are on the mortgage. A divorce decree doesn't alter the agreement with the lender.
  5. Seek Legal Advice: It's essential to work with legal counsel during a divorce, especially when dealing with joint mortgages. They can help navigate the legalities, ensure compliance with court orders, and protect your rights.

Remember, these are general considerations, and divorce laws can be complex, varying based on individual circumstances. Consulting with a divorce attorney who specializes in real estate or property law in Oregon will provide tailored advice for your situation.

by ronaldo_von , a month ago

@jeanie 

In Oregon, divorce can have implications for joint mortgages. Here are some general points, but it's crucial to consult a legal professional for specific advice based on your situation:

  1. Responsibility for Payments: If both spouses are on the mortgage, they are both responsible for the payments regardless of the divorce decree. The divorce decree may assign responsibility for payments, but it doesn't release either spouse from the obligation in the eyes of the lender.
  2. Refinancing or Selling: Often, divorcing couples aim to remove one person's name from the mortgage. This can be done by refinancing the loan in one person's name or by selling the property. Refinancing can be challenging as it involves qualifying for a new loan based on individual income and credit.
  3. Equity Division: In a divorce settlement, the division of property includes real estate. This might involve deciding who keeps the home, buying out the other spouse's share of the equity, or selling the property and splitting the proceeds.
  4. Credit Implications: If one spouse keeps the home and fails to make payments, it can impact both parties' credit scores since both names are on the mortgage. A divorce decree doesn't alter the agreement with the lender.
  5. Seek Legal Advice: It's essential to work with legal counsel during a divorce, especially when dealing with joint mortgages. They can help navigate the legalities, ensure compliance with court orders, and protect your rights.


Remember, these are general considerations, and divorce laws can be complex, varying based on individual circumstances. Consulting with a divorce attorney who specializes in real estate or property law in Oregon will provide tailored advice for your situation.