Divorce Planning
Divorce Planning
Divorce Planning
Mortgage planning for marital real estate division requires a holistic approach. Couples may choose between equity buyout or property sale, necessitating careful consideration of tax implications to optimize outcomes. Comprehending income requirements is vital, ensuring affordability and avoiding financial strain. By assessing these factors, individuals can make informed decisions, safeguarding their financial stability while navigating the intricate landscape of property division during divorce.
Divorce creates special financial-planning needs, including changing your beneficiaries, dealing with new tax and legal issues, updating insurance policies, splitting property and savings, and determining alimony and support for children.
Facing the potential of divorce can be incredibly difficult, especially for someone who has been married for decades. A study published by the National Center for Family and Marriage Research found that the divorce rate among US citizens over 50 doubled between 1990 and 2010. People are living longer and may choose to end an unhappy marriage. Some who seek fulfillment and personal growth later in life may find divorce to be the best path. Changing gender roles are also a factor, as women today likely have an independent source of income & assets, are financially stable and have more freedom to choose to end an unhappy marriage.
Many times in a divorce, we are more focused on curing the problem at hand, i.e., distributing real property and assets, that we forget there is life after divorce. The biggest challenge is the lack of knowledge, understanding, and preparedness of how the various pieces of the divorce puzzle fit together and truly overlap.
Divorce Mortgage Planning is the ability to put into play the desired outcome by pairing the needs and options available while incorporating the necessary details and clarity into an executable settlement agreement to obtain closure and peace of mind successfully.
Working directly with the divorce team, a CDLP® incorporates divorce mortgage planning into the overall process with a unique and solid understanding of the intersection of family law, financial and tax planning, real property, and mortgage planning.
The role of the CDLP® is to help integrate the mortgage selected into the overall long and short-term financial and investment goals, to help minimize taxes, to minimize interest expense, and maximize cash flow.
Our mission is to help divorcing homeowners make more informed decisions regarding their home equity solutions and mortgage financing opportunities during and after the divorce. Founded in 2014, the Divorce Lending Association supports ethical lending standards and is dedicated to supporting members through education and access to professional development opportunities working with divorcing homeowners.
Certified Divorce Lending Professional®
As a CDLP®, I focus my practice on helping divorcing homeowners and divorce professionals to provide strategic solutions to help divorcing homeowners make more informed decisions regarding their home equity and/or home purchase options. I work with the divorce team to identify any potential challenges and opportunities related to the the real property, the divorce settlement, and divorce mortgage planning.
Divorce Mortgage Planning is a holistic approach to the process of evaluating mortgage options in the context of the overall financial objectives as they relate to divorcing situations.
Divorce Lending Association
70% of divorces involve real estate, and in many cases, this is a couple’s largest asset. At this critical time in their personal and financial lives, these couples need guidance from someone who understands all the pieces of the puzzle.
The role of a Certified Divorce Lending Professional is not to provide tax or legal advice. Working directly with the divorce team, a CDLP® incorporates divorce mortgage planning into the overall process with a unique and solid understanding of the intersection of family law, financial and tax planning, real property, and mortgage planning.
To assist you in getting started and helping to keep everyone on the same page, we have provided a workbook that will aid you in evaluating the real property you own and how to proceed.
