The Post-Divorce Mortgage: Tips to Help You Set Up After You Split Up

Marci • February 1, 2015

When it comes to divorce, there are many things people have to consider in order to protect themselves and ensure that their future will be brighter. Splitting assets, such as a home, is something you should pay special attention to, especially with the high value of Vancouver real estate. If you are on the hunt for a post-divorce mortgage, here are some tips to consider.

Staying in the Home: Buying Out and Refinancing

Just because you’re going through a divorce doesn’t mean you’ll necessarily want to give up your home. Especially if children are involved, you may wish to stay in the home you love. Divorce doesn’t always mean having to divorce your home, after all. Instead, you can opt to stay in the home by buying out your ex-spouse and taking out a mortgage to refinance the home in solely your name. If this is the best option for you, you should ensure that your spouse will need to agree to be removed from the Title to the home signs a quitclaim deed, which will mean they relinquish their rights to the home. The terms of this are generally agreed to and included in the Separation Agreement. If you are securing a new mortgage to buy out your spouse, the Bank will need to review this agreement. It will most likely be a condition of your new mortgage approval that the Separation agreement is signed off and court approved.

If Your Spouse Wants to Keep the Home

If your spouse, on the other hand, wishes to stay in the home and you are ready to move on, you should ensure that they buy out your share of the home’s equity, and that you are protected and relieved from the responsibilities of the home. If your name is still on the deed title, you are responsible should your spouse default on the mortgage. Therefore, take extra care to ensure that your name is removed from the deed or title and any existing mortgage. A Deed of Trust to Secure Assumption is a document you can consider having your spouse sign, which will allow you to take back ownership of the house if your spouse defaults. This will also allow you to foreclose on the home, if necessary.

Selling the House and Splitting the Equity

Often, neither of the parties will wish to stay in the home after divorce, in which case the home will be sold and the assets will be split as agreed upon. While the property’s true value, mortgage penalties, and real estate fees should all be taken into account, each party should understand the process of getting a post-divorce mortgage. A pre-approval will still be required, this time based on your sole income. If alimony or child support is a part of the divorce agreement, a lender could require up to three months of deposited funds before approving your application. Again the Separation Agreement will be important here and may be required by the bank in order to secure an new mortgage approval.

Regardless of which route you and your spouse wish to take when going through a divorce and starting your lives again separately, it is important to do your research and understand the process thoroughly. Always ensure that you’ve spoken to a professional about your situation, and be sure you put measures in place that will protect you. After you’ve done all of the necessary due-diligence, you will be well on your way to getting yourself set up for a brighter future and a new beginning. If you’re in this situation or are dealing with other homeownership issues, send us an email today.

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What You Need to Know From the CMHC 2025 Housing Market Outlook

By Marci Deane • June 26, 2025
The Canada Mortgage and Housing Corporation (CMHC) has just dropped their highly anticipated 2025 Housing Market Outlook, and if you’re a homeowner, future buyer, or just like to keep your finger on the real estate pulse, there’s a lot to unpack. Here’s the short version: The Big Picture (Canada-Wide) Mortgage rates are expected to decline in 2025, giving some long-awaited relief to buyers. Home sales and prices are heading back up, though we’re not expecting the wild ride of 2021. Rental markets are softening slightly with more supply coming online. Condo construction is slowing, while purpose-built rental and ground-oriented housing hold strong. CMHC is cautiously optimistic, but they’re also tracking risks like U.S. trade tensions and lower immigration. What About British Columbia? If you’re in BC, especially Greater Vancouver or Vancouver Island, here’s what matters most: Prices are forecast to hit new highs by the end of 2025. Sales are rebounding, thanks to lower mortgage rates and some recent financing policy changes. Tighter inventory will drive demand in townhomes and entry-level properties. Rental markets are finally seeing some relief, with rising vacancy rates and record rental construction underway. Why It Matters This isn’t just “market noise.” For buyers, sellers, renters and industry pros, these trends point to a more balanced housing environment in the next 12–18 months. That means better planning opportunities, less panic-buying, and a slightly calmer market for everyone involved. If you’re making moves in the real estate world, or just want to understand what the data says about where we’re headed, this report is worth a closer look. ➡ Download the full 3-page PDF summary here . Need help making sense of how this impacts your mortgage, buying power, or investment strategy?  Ask Marci About Mortgages. I’m always happy to walk you through it.

Older Canadians Have Mortgage Options

By Marci Deane • June 25, 2025
Although it’s ideal to have your mortgage paid off by the time you retire, that isn’t always possible in today’s economy. The cost of living is considerably higher than it has ever been, and as a result, many Canadians are putting off retirement, hoping to make just a bit more money to add to that nest egg. So if you find yourself in the position where you’re considering your mortgage options into retirement, you’ve come to the right place. The advantage of working with an independent mortgage professional instead of a single bank is choice. When you work with an independent mortgage professional, you won’t be limited to an individual institution’s products; rather, you will have access to considerably more options. Here are some options available to older Canadians as they plan for mortgage financing through their retirement. Standard Mortgage Financing If you’ve got a steady income, decent credit, and equity in your home, there is no reason you shouldn’t qualify for standard mortgage financing, which usually comes at the lowest interest rates and best terms. Some lenders use pension and retirement income to support your mortgage application even if you’ve already retired. Reverse Mortgage Financing A reverse mortgage allows Canadian homeowners 55 years and older to borrow money from their homes with no proof of income, no credit check, and no health questions. A reverse mortgage is a fabulous mortgage solution that has helped thousands of older Canadians enhance their lifestyle. Home Equity Line of Credit (HELOC) A line of credit secured to the equity you have in your home is an excellent tool to allow you to access money when you need it but not pay interest if you don’t need it. Many older Canadians like the idea of rolling all their expenses and income into one account. Private Financing If you happen to be in a bit of a tight spot, you have a plan but need a financial solution; private financing might be the answer. Indeed not the first choice for many because of the higher interest rates. However, private financing can provide you with options where a traditional bank can’t. If you have any questions about securing mortgage financing for your retirement, please connect anytime. It would be a pleasure to work with you and walk you through all your options.

First-Time Homebuyer? A New GST Rebate Could Put Thousands Back in Your Pocket

By Marci Deane • June 20, 2025
If you’re a first-time homebuyer eyeing a new build or major renovation, there's encouraging news that could make homeownership significantly more affordable. The federal government has proposed a new GST rebate aimed at easing the financial burden for Canadians entering the housing market. While still awaiting parliamentary approval, the proposed legislation offers the potential for thousands in savings —and could be a game-changer for buyers trying to break into today’s high-cost housing landscape. What’s Being Proposed? Under the new legislation, eligible first-time homebuyers would receive: A full GST rebate on homes priced up to $1 million A partial GST rebate on homes between $1 million and $1.5 million This could mean up to $50,000 in tax savings on a qualifying home—a major boost for anyone working hard to save for a down payment or meet mortgage qualification requirements. Why This Matters With interest rates still elevated and home prices holding steady in many regions, affordability remains a challenge. This rebate could offer meaningful relief in several ways: Lower Upfront Costs: Removing GST from the purchase price reduces the total amount of money buyers need to save before closing. Smaller Monthly Payments: A lower purchase price leads to a smaller mortgage, which translates to more manageable monthly payments. Improved Mortgage Qualification: With a reduced purchase amount, buyers may find it easier to meet lender criteria. According to recent estimates, a homebuyer purchasing a $1 million new home could see monthly mortgage payments drop by around $240 —money that could go toward savings, home improvements, or simply everyday expenses. Helping Families Help Each Other This proposal also offers a win for parents who are supporting their children in buying a first home. Whether through gifted down payments or co-signing, a lower purchase price and more affordable monthly costs mean that family support can go further—and set first-time buyers up for long-term success. Is This the Right Time to Buy? If you’re thinking about buying a new or substantially renovated home, this proposed rebate could dramatically improve your financial position. Now is the perfect time to explore your options and make sure your mortgage strategy is aligned with potential policy changes. 📞 Let’s connect for a free mortgage review or pre-approval. Whether you’re buying your first home or helping someone else take that first step, I’m here to help you make informed, confident decisions.