Will My Chicago Divorce Impact my Mortgage Rate? Read All about the Intersection of Mortgage Rates and Divorce Proceedings in Chicago

Many Chicago residents are likely familiar with some of the common challenging issues that come up in Chicago divorce proceedings. Child support, child custody (and pet custody, too), division of property, alimony payments, and parenting plans are all issues that most individuals in Chicago have heard of, or maybe have dealt with in their lifetime either as a child or as an adult. However, with mortgage rates rising in Chicago and throughout the rest of the country, an issue that many married and divorcing Chicago homeowners may not have thought of before is now coming to the forefront: who gets to keep the lower mortgage rate in a Chicago divorce?

Mortgage Rates on the Rise in Chicago

There is no doubt that the financial picture for homeowners is different now than it was even a few years ago. While mortgage rates fell in 2020 and 2021, they have jumped back up, and a 3% mortgage rate is a thing of the past, with rates hovering around 7% recently. With rates approximately more than double what they were just years ago, many divorcing Chicagoans may be scratching their heads thinking about how the rising rates will play into their Chicago divorce proceedings. The answer is that when it comes to the division of property, one soon-to-be ex may get the house – and the low mortgage rate – while the other may have to find new housing at higher interest rates.

Solutions to Rising Interest Rates in Chicago Divorces

Real estate advisor Ryan Preuett shared a helpful story about his experience dealing with the issue of higher mortgage rates now with his divorcing clients. Said Preuett, “I recently dealt with a situation where the couple owned a very nice home with a sub-3% mortgage and were forced to sell because neither could afford the home on their own.” Preuett went on to explain that both of the soon-to-be exes decided to rent in the end because “individually, they could not afford anything close to what they were accustomed to.” In other cases, divorcing couples may decide to live together even through their divorce, to keep the home and low mortgage rate. With all of these challenges in the forefront of divorce in Chicago, it is, of course, best to speak with an experienced Chicago divorce lawyer about your specific case for the best guidance towards a workable solution.

Legal Help with Your Chicago Divorce – Chicago Divorce Lawyer

If you are in the Chicago area and you need legal help with your Chicago divorce, contact the experienced Chicago divorce lawyers at the law firm Arnoux Sharma Standeford, LLC. The experienced Chicago divorce lawyers at Arnoux Sharma Standeford, LLC are here to help those in Chicago facing divorce with their biggest challenges, such as the division of the marital home. Do not hesitate to reach out today, contact the experienced Chicago divorce lawyers at Arnoux Sharma Standeford, LLC and speak to a lawyer about your case now.

Source:

themortgagereports.com/61853/30-year-mortgage-rates-chart