How to Keep Your Home After Divorce in Wisconsin: Your Complete Mortgage Guide (2025 Update)
Going through a divorce is hard enough - figuring out the mortgage doesn't need to be. Whether you want to keep the home, refinance into your own name, buy out your spouse, or start fresh somewhere new, you have more options in Wisconsin than most people realize.
If you're unsure what you qualify for, I can run your numbers privately and quickly - with the least amount of paperwork possible.
👉 Call or text me at 414-975-2654
👉 Apply securely: https://myuhm.uhm.com/homehub/signup/azeman@uhm.com
👉 Explore divorce mortgage options: https://adamzmortgageteam.com/divorce-mortgage-wisconsin/
Why Divorce Doesn't Automatically Mean You'll Lose the Home
Many people believe divorce forces one person to sell the house - that's not true. In most cases, one spouse can keep the home if the numbers work.
Mortgage lenders in Wisconsin look at:
- Income (employment, child support, maintenance)
- Credit
- Debt obligations in the divorce
- Property equity
- Who's staying in the home
- Whether a buyout is needed
Your divorce agreement does not have to be final to start the mortgage approval process. A draft or written terms is usually enough.
Your Main Options for the Home in a Wisconsin Divorce
1. Refinance Into Your Name Only
If you want to keep the house, refinancing removes your ex from the mortgage. This is the cleanest and most common option.
- Works for Conventional, FHA, and VA (if eligible)
- FHA allows more flexible credit scores
- Removes the other borrower's financial liability
- Allows you to restructure the loan term if needed
Learn more about your refinance options here:
https://adamzmortgageteam.com/refinance-your-mortgage-in-wisconsin-2025-homeowners-guide/
2. Divorce Buyout Refinance (Equity Buyout)
A buyout refinance lets one spouse keep the home by paying equity owed to the other spouse as part of the property division.
This is common when:
- One spouse wants long-term stability for kids
- Interest rates are favorable
- The home has strong equity
- Selling the property isn't desirable
The buyout amount is typically set in the divorce agreement - not by the lender.
3. Remove an Ex From the Mortgage
In most cases, you must refinance to remove a borrower.
However, VA loans may allow updated occupancy without refinancing if the retaining borrower is the veteran - a niche but useful exception.
For a full breakdown on how mortgage obligations work during divorce, this CFPB resource is helpful:
https://www.consumerfinance.gov/ask-cfpb/what-happens-to-my-mortgage-if-i-get-divorced-en-1291/
4. Sell the Home and Start Fresh
Sometimes selling is the cleanest solution, especially when:
- Debt-to-income ratios are too tight
- Equity needs to be split evenly
- Neither spouse can qualify alone
- Both want a fresh start
If that's the case, I can help you get pre-approved with minimal documentation so you can move confidently into your next home.
How Income Works in a Divorce Mortgage Approval
Wisconsin lenders can use a mix of income sources:
- Employment (W-2, salary, hourly, part-time)
- Child support (must meet duration guidelines)
- Maintenance/alimony (also must meet duration)
- Second jobs or side income (case-by-case)
- Bonus or overtime (with history)
Here's a helpful resource on how lenders view debt-to-income ratios:
https://www.investopedia.com/terms/d/dti.asp
What Documentation You Need (Way Less Than You Think)
I only request what Fannie Mae and Freddie Mac absolutely require.
No extra fluff. No unnecessary paperwork. No headaches.
Typical items include:
- Draft or final divorce agreement
- Recent pay stubs
- W-2s or tax returns
- Bank statements
- Proof of any support income (if used to qualify)
And because I underwrite income upfront, there are no surprises.
When You Should Start the Process
Ideally: before your divorce is finalized.
Why?
Because you can lock numbers in early, explore qualifying options, and prevent last-minute issues that may affect the settlement.
You do not need a finalized decree to begin.
Thinking About Keeping the Home? Start with a Private Review.
A short conversation is often all it takes to find out if keeping the house is realistic - or if refinancing is even needed.
You'll get:
- A clear breakdown of your options
- Accurate payment estimates
- Whether you qualify alone
- Whether a buyout is possible
- What your next steps should be
Talk With a Wisconsin Divorce Mortgage Expert
Adam Zeman - NMLS #870441
Wisconsin Mortgage Expert
Union Home Mortgage
📱 Call/Text: 414-975-2654
🌐 Website: www.mkemortgage.com
💬 24/7 Mortgage Assistant: https://chatgpt.com/g/g-685422dd22bc8191a39cbdf2be98ec08-wisconsin-real-estate-mortgage-expert
📝 Apply Now: https://myuhm.uhm.com/homehub/signup/azeman@uhm.com