Mortgage after divorce: these are your options
What happens to your home and mortgage when you separate? Discover the financial routes to a fresh start.
Plan appointmentGetting clarity on your future
When a relationship ends, your shared home often feels like the biggest question mark. Can one of you keep the house, or is it better to sell? Your options depend on several factors: your individual incomes, the current market value of the house, and your mortgage conditions. At Hanno, we specialize in untangling these complex situations for expats. We provide the calculations you need to make a fair decision, ensuring both partners know exactly where they stand before any legal agreements are finalized.
Why explore your options with Hanno?
- Objective calculation of your buy-out capacity
- Clear insight into 'release from joint liability'
- Specific expertise in expat rules and the 30% ruling
- A roadmap for both staying or selling the house
The crossroads: buying out your partner or selling the house?
If you own a home together, you are both fully responsible for the mortgage. If one of you wants to stay in the house, the bank must officially remove the departing partner from the contract. In the Netherlands, this is called 'release from joint liability' (ontslag uit de hoofdelijke aansprakelijkheid). The bank will only agree to this if the staying partner can carry the monthly payments on a single income. Additionally, the staying partner must "buy out" the ex-partner by paying them their 50% share of the home's equity (overwaarde).
If a buy-out isn't financially possible, the logical next step is selling the property, paying off the bank, and splitting the remaining equity. To prevent false hope or legal delays, Hanno runs a comprehensive reality check early on. We factor in your exact income, the 30% ruling, and current interest rates to see what is actually feasible. By giving you the concrete financial facts right away, you and your mediator can make a solid agreement, allowing both of you to confidently start fresh.
Which option fits your situation?
make an appointmentThe crossroads: buying out your partner or selling the house?
If you own a home together, you are both fully responsible for the mortgage. If one of you wants to stay in the house, the bank must officially remove the departing partner from the contract. In the Netherlands, this is called 'release from joint liability' (ontslag uit de hoofdelijke aansprakelijkheid). The bank will only agree to this if the staying partner can carry the monthly payments on a single income. Additionally, the staying partner must "buy out" the ex-partner by paying them their 50% share of the home's equity (overwaarde).
If a buy-out isn't financially possible, the logical next step is selling the property, paying off the bank, and splitting the remaining equity. To prevent false hope or legal delays, Hanno runs a comprehensive reality check early on. We factor in your exact income, the 30% ruling, and current interest rates to see what is actually feasible. By giving you the concrete financial facts right away, you and your mediator can make a solid agreement, allowing both of you to confidently start fresh.
Frequently asked questions
We strongly recommend talking to a mortgage advisor early in the process, even before you finalize a divorce settlement (echtscheidingsconvenant) with a mediator or lawyer. Why? Because you need to know if taking over the house is mathematically possible before you agree to it in a legal document. We provide the financial boundaries so your mediator can draft an agreement that is actually executable by the bank.
Usually, if you own the house 50/50, you split the equity equally. The equity is the current market value of the house minus the remaining mortgage debt. If you want to keep the house, you have to pay your ex-partner their 50% share. We can often finance this buy-out amount into your new mortgage, provided your income allows for it.
If the bank determines that neither of you can carry the mortgage on a single income, you unfortunately cannot get a release from joint liability. In that case, the only option is to put the house on the market and sell it. You will use the proceeds to pay off the bank, and you split whatever equity is left.
Yes. Just like when you bought the house, your 30% ruling means your net income is higher. Many banks factor this into their calculations, which increases your maximum borrowing capacity. This can be the deciding factor in proving to the bank that you can afford the mortgage and buy-out on your own.