When a couple divorces in Illinois, one of the main tasks to accomplish is dividing property. This is often difficult not only because couples may disagree but also because of the legal issues they may run across with certain property. Mortgages are a great example.
Many couples will have a mortgage on the family home, which leaves them with an issue. According to Bank Rate, the mortgage lender does not care if a couple is getting a divorce. They consider them to still be married and equally liable for the debt. There is no easy way out of it.
Time reveals some of the options couples have when it comes to the mortgage. The first inkling may be for one person to stay in the home, especially if there are children, and the other spouse pays the mortgage. This seems like a simple solution, but for many families, the strain of having to maintain two homes is too much. The person responsible for paying ends up lagging behind in payments, and the home is foreclosed.
Another common option is selling the home. This can be the best choice if the market is good. Otherwise, couples could see their house sit on the market for months before they get any interest at all. It also can be tricky if more money is owed on the home than it is worth.
The last option is to refinance in one name only. This allows one spouse to take on the payments and responsibility. It also allows them to stay in the home. This may not work for every family. It depends on finances.