Among other things, divorces and separations can often leave deep financial wounds. In the case of mortgages, they can be messy and complicated. If you are undergoing a separation, it’s important to know that you have options that can help make this ordeal easier. One tool you may want to consider is our spousal buyout program.
Who is this program for?
Our spousal buyout program is intended for those instances where two people, whose names are on a single mortgage, have decided to separate and one of them wishes to stay in the home. Perhaps this is so that any children involved won’t have to move, but the reason why one person wishes to remain in the home is irrelevant. In most cases, this program is used in situations of divorce, but it is also applicable for siblings or even friends who jointly owned a home and now want to go their separate ways.
How does this program work?
Through this program, it is possible to finance up to 95% of the home’s purchase price in a private sale in order for the other party to be bought out. These proceeds can only be used to buy out the other owner’s share or to pay off joint debt. These conditions will be clear in the finalized separation agreement.
What is required?
In order to make the process as smooth as possible, you will need:
- A separation agreement or legal document from a lawyer stating the division of the property.
- An offer to purchase and a full mortgage application. We can assist with both of these.
- A physical appraisal of the property. This condition is necessary because this program acts similar to a private sale.
We understand that separation can be incredibly stressful at the best of times. That’s why we work late every night and strive to make the mortgage process as stress-free as possible. We have teams conveniently located in Calgary and Central Alberta, and we offer our services to the many communities surrounding these areas. Our spousal buyout program allows you to deal with your largest shared asset quickly and efficiently, so you both can move on. If you want to know more about this program, we invite you to contact the mortgage experts at Source Mortgage today. Your confidentiality is our priority.