How prenuptial agreements and alimony affect mortgages

On behalf of Stange Law Firm, PC posted in divorce on Thursday, July 28, 2016.

What many Missouri couples who are about to get married and buy a house may not know is that lenders may take a prenuptial agreement into consideration if it includes details about the house the couple wants to buy. Bankers may also look at alimony payments if a couple is going through the divorce process. These documents can give bankers the overall picture of a couple’s financial situation.

Prenuptial agreements can legally divide an estate up if a married couple decides to get a divorce or if one spouse dies. The agreement usually provides instructions for what a surviving person is supposed to do with the property. The agreement also allows the couple to enter into a home buying agreement even if one person is not able to or not willing to meet the financial requirements. It may cover whose name will be on the mortgage and title in addition to who is responsible for making the payments.

If a couple gets divorced and one person had a significantly higher income than the other during the course of the marriage, it is possible that they may be ordered to pay alimony. This can make it difficult to qualify for a home. However, providing the payment history and a complete copy of the divorce decree can help prove that the person is eligible for a mortgage.

When a couple decides that it is time to get a divorce, one spouse may need financial assistance for some time especially if he or she stayed at home during the marriage. An attorney may help the spouse seek alimony to help the spouse afford a place to live. In some cases, the alimony can potentially be used for schooling so the person can get back into the workforce. They may also help with dividing up the property that was obtained during the marriage.

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