Personal Finance, Business and Finance Solution

Getting a mortgage after divorce can be a challenge. Most divorces involve a large financial settlement that will be life changing for both people involved. One common problem is the issue people have remortgaging after a divorce. The common scenario is that after the divorce one party wants to remain in the family home. However when they apply for a mortgage refinance they are told that their sole income is not sufficient to obtain the finance they need.

The above is a common problem that more often than not ends in the home being sold and both parties living separately in much smaller properties. However there are some ways around this scenario that this article will discuss. There is no need for you to lose the home you have lived in for years.

The main alternative to a regular mortgage is a to approach a lender that specializes in mortgage for those with bad credit. “But I don’t have bad credit” I hear you say. This may be true but as far as the mortgage companies are concerned you are a high risk because your income is low compared to the value of the finance you are asking for. If you approach one of these lenders you may well find that they can get you the mortgage you need and it will not cost a huge amount more than your old mortgage. In fact they will often recognize that your situation is a one off exceptional event and not penalize you with an extortionate rate like they would if you DID have bad credit.