Housing and mortgage support
Mortgage support scheme: Depending on your income and specific circumstances, you may be eligible for the government's Support for Mortgage Interest (SMI) scheme. The SMI, assuming you qualify, can cover your mortgage payments and any loans you may have taken out to cover house repairs or improvements. The SMI doesn’t cover missed mortgage payments that are in arrears or insurance payments.
Council tax reduction: Single occupants or households with low income may qualify for a reduction in council tax, directly impacting housing costs.
Housing benefit: If your income falls below a certain threshold, you may be eligible for housing benefit to help cover the cost of housing. It's crucial to note that housing benefits do not typically apply to mortgage payments directly, but can provide financial relief for rent in alternative accommodation if you no longer own the family home.
Additional considerations
Mortgage advice
Seeking professional advice from a mortgage broker is highly recommended. They can help you understand your options, navigate complex financial decisions, and explore solutions tailored to your specific circumstances.
Legal support
Legal guidance is crucial during the divorce process, especially when dealing with the marital home and mortgage. A solicitor can advise on the legal aspects of dividing property and negotiating mortgage arrangements.
Communication is key
Maintaining open communication with your ex-partner is essential. Discussing potential solutions, such as selling the property, buying out one another's share, or remortgaging with adjusted terms, can help find a mutually agreeable outcome.
By understanding and using available government support where needed, individuals facing divorce can approach the process with greater confidence, allowing them to make informed decisions about their housing situation and move forward with more financial stability.
Important information
Your home may be repossessed if you do not keep up repayments on your mortgage.
There may be a fee for mortgage advice. The actual amount you pay will depend on your circumstances. The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.
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