Going through a divorce can be very difficult for a Kansas couple, especially when children are involved. Child support, visitation rights, alimony and retirement funds are typical things that must be resolved before a settlement can be reached. However, few issues cause more contention than what to do with the family home. In some cases, one of the spouses will take ownership of the home and assume the existing mortgage. In other cases, that may not be possible.
It might make sense for a spouse to assume a mortgage when the existing rates are better than those of a new mortgage. Assumption fees may also be less than refinancing fees. In some cases, assumption fees can be as low as $1,000. Assuming a mortgage sounds like it would be a simple matter; however, that is rarely the case. Furthermore, it is common for divorcees to have misconceptions about the mortgage assumption process.
First of all, not all loans are assumable, especially those issued after 2008. The only way to know for sure is to check the original promissory note. Another misconception is that a mortgage can be assumed with a simple phone call and a few signatures. However, the mortgage holder will most likely ask the ex assuming the loan to submit the same financial documents that would be required for a new loan.
Whether to assume a loan or not is only one of the decisions that will have to be made during a divorce, and the process of making life-changing decisions can be very stressful. Because of this, divorcing spouses often need someone to guide them through the process. In many cases, it is helpful to get the advice of an attorney who has experience in handling divorce cases.