Marlene
Talking with a loan officer is the first thing to do. If equity from the sale of your current home figures into the purchase of your new home, discuss with the loan officer your options.

Also, you need to look at your options:
1. Do you have to sell? Could you negotiate and figure out a way to buy out your husband's share? I heard about an attorney that swapped equity for 401(k) funds so the wife could buy her ex out.
2. What about timing...kids in school, finding a new place takes time. Perhaps you could negotiate a "lease after sale" agreement that would let you rent back the home from the buyers while you find a new one?

Talk with a Realtor regarding your options, and pros and cons of each.

Hi Marlene,

It sounds like you're moving into a new chapter in your life and looking for the perfect home to get you started. Before you begin, there are a few things to consider:

1. I would recommend that you resolve the issue of the home that you hold jointly with your husband before you pursue a new purchase. This means that you'll need to get this home sold first. Otherwise, you'll have to make the purchase of your new home contingent upon the sale of your existing home.

With this market, your home could be on the market for an extended period of time. And you wouldn't want to find your perfect new home only to have to let it slip away because you're still waiting for your existing home to sell.

So, make sure to work closely with your REALTOR® to accurately price your home and create a marketing strategy that will position your existing home for a quick sale.

2. In the mean time, get in touch with a mortgage advisor to find out how much loan you can get. The mortgage advisor will help you identify any "oopsies" on your credit report and help you identify any areas that you can work on to better position you to get the most you can qualify for at the least cost to you.

3. Start thinking through the type of property you're willing to acquire. For example, does your new place have to be turn-key with granite countertops and hardwood floors? Or, are you willing to look at properties that may need your TLC to convert them in to a perfect place for new beginnings? Knowing what your tolerance is for home improvements will influence how much house you can get for your money, as well as provide a wide variety of properties from which to choose.

In any case, my advice to you would be to start early. I am seeing movement in home sales at certain price points, but overall our local market is still a little sluggish.

So Marlene, that's "my 2 cents" and I hope you've found the information helpful. If you ever have any followup questions, don't hesitate to reach out to me.

Much success in your pursuits...Stacy

It depends on your unique situation. Every individual is different. I would suggest you consult a mortgage broker to evaluate yours. They will look at your credit, all debts you may have or be responsible for, and your income. Then they will be able to determine what size of home, if any, you would be qualified to purchase. In our Allegan market, the 1yr lease to buy is not very likely.

Your taxable value will likely adjust to about the purchase price, after new home is purchased. Locally this adjustment occurs annually in March. There are exceptions, such as in foreclosed properties, where the assessor does not believe it was sold as fair market price. But there is an appeal process for this too.

Thanks,
Scott Dangremond
ERA Network Real Estate
(269) 512-2870

First question about divorce and second home purchase. This depends on your resources, if you will need a mortgage you will have to qualify for a second mortgage and your "ex" will need to be willing to sign the deed of trust over to you after the divorce - it is complex and risky if you are not getting along.

Property tax goes to the highest possible rate after a purchase, it is up to the property buyer to file for exemptions. as far as where it is assessed you might have to provide your HUD1 during the protest period but even that is not a sure thing. consult you county tax office.

Buying a second home is possible only if you can qualify for both homes with your income. There is the possibility that the 1st home will be sold, so I advise that if you have to move into another home, you can do a lease purchase for about one year or until your current home is sold, depending on your particular market.
Property taxes are based upon current appraised values. If you are buying a home with high tax, you could find what the current value is and request for county re-assessment. Each area have a specific period for this re-assessment.
Always availably yours,

Aaron Mtuanwi - Realtor
Solid Source Realty
678-499-6065
aaron.mtuanwi@gmail.com