In our monthly divorce workshop, we hear a lot of the same concerns, fears, and questions. Divorce is a confusing time, and many people experiencing it have similar concerns.
One our most frequently asked questions is about the house. Can I keep it? What about my credit? And also, can I buy a new home?
As you know, buying a house is a large financial commitment. So the answer: it depends. If you have the cash to pay for a new home, no problem. But most of us need a mortgage. If that is your situation, it’s best to sit down with a Certified Divorce Financial Analyst. He or she is trained to walk through the what-if scenarios with you.
Divorce often leaves us feeling financially pinched. Going through the numbers with a CDFA allows you to see whether buying a new home is financially feasible. If it is, the next step would be to sit down with an experienced mortgage banker to discuss securing financing.
Can I buy a new home after divorce?
But whether you can get a loan or not, is buying a home right for you? Here are some thoughts on buying a house after divorce:
- Do you have money saved? Obviously a new home requires a down payment, but will likely need a repair or some correction shortly after you move in. You may also need money to furnish it or buy dishes, depending on how things were split between you and your ex.
- Will you be there awhile? Buying a home only makes sense if you plan to stay for at least a few years. Divorce is often a time of transition, and it may make sense to remain in an apartment for a time as you navigate your new life.
- Do you have the time? Homes require upkeep. Apartments and condos offer a solution for busy single parents: a maintenance staff. Let someone else mow the lawn and fix the broken toilet so you can spend time with your children.
What questions do you have about buying a house after divorce?