With the divorce rates in Canada trending around 50% in 2018, understanding your rights during a divorce is critical for nearly half of the married couples in Canada. Knowing your rights could not only protect your financially, but it could also save your children unnecessary stress that comes from uprooting your family and moving from home to home.
Many of us are aware that Canadians are allowed to refinance the equity of their home in order to free up capital to help them consolidate debt, purchase additional homes, etc but few are aware of their rights when it comes to separation.
When two parties are legally separating, but one wishes to remain in the home, the remaining party is allowed to refinance up to 95% of the homes value to payout the other partner and remove them from title. This provides some stability for the one wishing to remain in the home and allows the other to take their equity and help them with the purchase of their new home. A unique option to help create a fresh start in a slow(er) resale market and a great tool for real estate agents to have in their toolbox.
Speak to your Advanced Mortgage Professional today as we would love to help you understand this process better.