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Foreclosures Causing More Divorces?

Foreclosures Causing More Divorces?

The financial pressure that comes with an escalating house payment or a foreclosure may indeed be playing a role in breaking up marriages, experts say.

Historically, the three most likely reasons for foreclosure problems are: loss of job, loss of health and loss of spouse. On top of that, these days, escalating mortgage payments seem to be exacerbating the divorce problem.

Though there are no studies linking foreclosure to divorce rates, Frank Fincham, the director of Florida State University's Family Institute, said, "Financial problems among couples are one of the main reasons for divorce in this country today." One recent poll commissioned by divorce360.com ranked financial issues as the No. 2 reason that Americans divorce, with abuse ranked as No. 1.

For years, Middle America was of the mindset that it could get a divorce and use the equity in their home as a safety net, but for many these days, there is no equity. It used to be, when couples bought a house, five years later it was worth more. And when people got divorced in those days they expected to be able to live for a while off the proceeds from the sale of the house. . . . We do have a lot of people in trouble in this country because the value of their house decreased.

What do you think? Give us your opinion. Has the mortgage crisis and more resulting foreclosures, had anything to do with an increase in divorce rates? Use the comment link below to give us your feedback.

Posted by David Wiggins on 04/30/2008 12:23 AM

Comments (8)

financial, foreclosure, mortgage

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8 Comments on Foreclosures Causing More Divorces?

Any factor which adds this degree of financial stress to this many American households is bound to cause problems. The foreclosure crisis and lack of liquidity in housing is harmful to families.

04/30/2008 12:33 AM

by Madeline Island Realty - Eric Kodner Sells Madeline Island

It might be true, don't know. But for sure if a couple is not doing well then a foreclosure does not help, and a foreclosure does not help a couple stay good. So perhaps its a chicken and egg situation.

04/30/2008 12:36 AM

by Bob & Carolin Benjamin - E Phoenix Arizona Real Estate (The Benjamin Team - Keller Williams Integrity First Realty )

I believe that it is a big contributing factor in divorces especially if one or the other spouse was against the the real estate purchase in the first place

04/30/2008 12:38 AM

by Makea Turner (Coldwell Banker)

I could see how a financial burden like a foreclosure could leave to a divorce. When it comes to hard times with money the stress could be a factor that could lead to bad times in a relationship.

04/30/2008 12:40 AM

by Ryan Vivo, Realtor Solano County Gateway Realty (Gateway Realty)

In my relationship, Our income has been cut in half and we have pulled closer rather than apart. I think a lot of couples put too much impotance on money. If your relationship has a problem money will fix,you probabley didn'i have a good one anyway.

04/30/2008 01:15 AM

by Greg Hampton North Georgia Mountain Property,Blue Rid (Re/Max Around The Mountains)

Interesting... I hadn't thought about foreclosures affecting the divorce rate, but this whole ordeal has affected us all in so many ways...a lot more than we ever imagined.

I'm a loan signing agent in California and handle loan document closings. I recently had to notarize a quitclaim deed. A husband and wife were refinancing and they were going through a divorce.

Greg ~ Although I'm not glad to hear you're income is less, I am happy to hear it's pulled you closer together in your relationship. I pray other couples will be brought closer together as well, rather than pulled apart.

Denise O'Dell

04/30/2008 01:46 AM

by Denise O'Dell ~ CA Mobile Notary/Loan Signer/REALTOR® (SANTA CLARITA MOBILE NOTARY)

Im sure that loosing a home would be enough to stress a relationship to divorce. It doesnt take much now a days to file anyhow. Our system makes it way to easy to get in and OUT.

04/30/2008 06:06 AM

by Chip Jefferson (Carrion Builders)

I believe that foreclosures and financial issues can quickly strain a relationship.

05/18/2008 08:07 PM

by Sam Miller (RE/MAX Stars Realty)

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