Separating from your partner can be an emotionally challenging time, and it’s important to address the practical aspects of your financial obligations, especially when you have a mortgage. If you intend to keep your family home, understanding your options and seeking professional advice becomes crucial. That’s where a mortgage broker can assist you in navigating the complexities of your mortgage situation during this transition.

What do I need to consider about my mortgage when separating?

When you co-own property and share a mortgage with your partner, both parties are jointly and severally responsible for meeting the mortgage payments in their entirety. Even if you have moved out, you still need to ensure your part of the mortgage is covered. Failure to meet mortgage payments could have negative consequences on your ability to borrow in the future.

Considerations when keeping your home

If you decide to keep your family home, there are several considerations to keep in mind regarding your existing home loan:

• Establishing a new loan: Taking over the mortgage by yourself requires the establishment of a new loan. The lender will assess your individual borrowing capacity, allowing you to settle your old mortgage and buy out your ex-partner.
• Property valuation: Your home will need to be revalued to determine its current market value. This valuation helps determine the buyout amount for your ex-partner’s equity share.
• Additional costs: Keep in mind that legal fees for settlement agreements, property valuation and conveyancing, transfer fees, lender’s mortgage insurance, and potential taxes need to be factored into the financial arrangement.

The role of a mortgage broker in your separation journey

To gain a clear understanding of your borrowing options, it is advisable to engage the help of a mortgage broker. A broker who understands the challenges of separation can assess your unique situation, explore various lenders, and determine the feasibility of your plans. They will help you comprehend the income criteria for your loan application, assist in obtaining pre-approvals, and guide you through the loan application process when the time comes.

When should I speak to a mortgage broker?

Many people going through a separation choose to speak with a broker early. It is a good idea to get a picture of your borrowing power and financing options before you start negotiating your settlement with your former partner. This will help you know whether buying out your partner is an option for you or if selling your property is the right choice.

By obtaining a comprehensive understanding of your financial standing early on, you can reduce stress and expedite the process of moving forward. A mortgage broker’s expertise and industry knowledge can be invaluable in securing a stable financial future post-separation.

Meet the mortgage broker in our network

Angelo Nervosa, Superior Mortgage Solutions

With a 25-year tenure as principal of his own mortgage broking business, Angelo’s specialty is supporting individuals navigating their complex property situations during separation. He offers empathetic, confidential, and tailored mortgage advice to those undergoing this transition, understanding that each situation is unique.

Angelo works with you to untangle the financial threads of separation and find the best options. This allows you to move forward with clarity and confidence and reach a successful settlement. Whether you’re refinancing a joint mortgage into a single name or seeking to purchase a new home after a separation, Angelo’s assistance can pave the way for a smoother transition.

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If you’ve separated and don’t want to put your home on the market, you need a professional property valuer’s services to determine your home’s market value. They also value investment, commercial and industrial properties for settlement in separation and divorce.

You can get an unbiased valuation from a trusted independent property valuer registered with the Australian Property Institute. Your property valuer should understand what your report is for and know the Federal Circuit and Family Court of Australia requirements. Make sure the valuer you choose has experience with family law settlements.

Why do I need a property valuation?

If you’re both confident about your judgement, you can simply agree on what your house is worth for your property settlement.

However, there are benefits to a formal property valuation when you separate and times when it is compulsory.

• Have peace of mind. A professional valuation ensures you both understand the asset pool and that the settlement agreement you negotiate is transparent and fair.
• Understand your financial position. An expert valuation early on can help you know where you stand so you can decide if buying out or selling is your best option.
• Settle a dispute with your spouse. An unbiased valuation will help you reach a figure if you can’t agree on the value of your property.
• Use as evidence. In cases that go to Court, you must submit a valuation report from a registered independent property valuer as evidence.

There are other ways to estimate the current value of your property. Each of these has its own drawback.

• Purchase price of the property. This is usually out of date.
• A recent sale of a house in your street. It’s unlikely to be an exact comparison to your property.
• Real estate market appraisal. You can use these early in the process to agree on a value for negotiations, but there may be a conflict of interest if the agent is trying to win the sale. The value may be overinflated or vary from agent to agent.
• Bank valuation. These are often under current market value as they are approached from a risk setting.

What determines the market value of my home?

A professional valuer uses their property experience and knowledge of the market to estimate your home’s current market value. They assess what a fully informed, willing, but not anxious buyer may be willing to pay.

The valuer will visit your home in person for a physical property inspection.

They write a detailed report to justify the value, including

• photos
• a description of the location of your property and its features
• house size, land size, the number of bedrooms, bathrooms and living spaces
• outdoor features and garden
• age and quality
• design and period appeal
• proximity to transport, amenity and school zones
• comparative sales in the area
• how much income it generates if it is an investment property.

Of course, the only way to be 100% sure of the current value is to put your house on the market. If you don’t want to sell and both of you jointly appointed the independent valuer, their estimate is your best option for settlement.

When is the right time to get a valuation?

The housing market can change quickly.

Often, time passes between separation, negotiating an agreement and the final settlement.
You may start negotiating based on an agreed estimate and wait until your orders are drafted for a formal valuation.

Professional valuation reports are often relied upon for an extended period. If you decide to get the security of a formal valuation early on, you can pay a fee to have it refreshed if the market has changed significantly.

Who arranges a property valuation?

A single valuer is appointed and instructed by both parties. You both pay an agreed share of the cost of the valuation.

The Federal Circuit and Family Court require that one single expert witness gives evidence about the value of your house, so it’s important that you agree when you choose your valuer.

If you’ve already engaged a lawyer, they may put forward a valuer they work with and trust. Your ex-partner’s lawyer may suggest someone else. It’s up to you both to choose.

Save money by arranging a valuation directly through The Separation Guide trusted Network rather than a law firm doing it for you – fees for arranging these extra services add up along the way.

Want to separate fairly without high legal fees? The Separation Guide’s DIY Separation Toolkit empowers separating couples to create their own legally-informed agreement for just $150.

Introducing the DIY Separation Toolkit

This online toolkit is a step-by-step video series with downloadable templates, designed to help you and your ex-partner agree on parenting, property and financial matters — without going to court.

You’ll be guided through the key issues to consider, avoid common mistakes, and build a foundation for a legally sound agreement.

What you’ll get:

• Lifetime access to a five-video series (watch anytime at your own pace).
• Templates to fill out as you go.
• Expert guidance on:
  – Parenting arrangements
  – Dividing property and finances
  – Avoiding common mistakes
• Confidence to draft your own agreement – on your own terms.

For a fraction of the cost of a single legal consultation, you’ll learn how to separate fairly, communicate clearly, and stay out of court.

Watch the first session FREE

Is the DIY Separation Toolkit right for you?

This toolkit is best for couples who:

• Communicate well and are still amicable
• Trust each other to be open about money
• Are comfortable with a DIY approach
• Want to stay in control and out of court
• Are married or in a de-facto relationship

What happens after you create your agreement? 

Once you’ve worked through the toolkit and drafted your agreement, you’ll need to finalise it. You have several options:

1. Informal agreement
Not legally binding or enforceable.

2. File consent orders yourself with The Family Court
Legally binding — but orders may be rejected due to errors or fairness concerns.

3. Hire a professional to draft Consent Orders
Reduces error risk, but doesn’t ensure fairness has been independently reviewed.

4. Engage independent lawyers – Recommended

• Ensures your agreement is fair and legally compliant
• Reduces risk of future claims
• Lawyers in our network honour your DIY work and provide fixed-fee services to review.
• Typical fees range from $1,500–$3,000 + GST per person to draft a Consent Order, versus $500 – $1200 to review the work you’ve already done, which could take as little as an hour.

We can connect you with experienced family lawyers who are aligned with our Ethical Charter and committed to keeping things calm, cost-effective, and out of Court.

You can be confident that they understand the work you’ve put in and will provide their independent opinion on fairness without the risk of untangling your agreement.

Ready to take control of your separation? 

Purchase the DIY Separation Toolkit now for $150.

Separation and divorce can feel like a world of ‘I don’t know’ and ‘what if?’ Separation Support reduces the stress of the unknown and gives you clarity about your next steps so you can move forward.

We understand that your situation is unique. But having helped thousands of people going through separation, we also know the key landmark moments most people go through on their separation journey.

What is Separation Support?

Separation Support lets you talk through your situation with an impartial separation expert, giving you practical guidance on your options and peace of mind that you are on the right track.

For a fraction of the cost of a lawyer, our Consultants can answer many of your questions about navigating the system of separation and divorce in Australia. They’ll let you know when it’s the right time to engage legal and financial professionals.

We’ll break down your complex situation and help you find the smoothest path through.

When do I need Separation Support?

You can book Separation Support at any stage of your journey. Sessions can help you if you’re considering separation or already separated.

Speak with a Separation Consultant if you need:

• to talk through the practicalities with someone impartial
• information specific to your situation on how to separate and get divorced in Australia
• advice about having ‘the discussion’ or telling your children
• support if your partner has told you they want to separate
• help in choosing a legal representative or other separation professionals
• support getting your partner on board with a particular separation pathway
• reassurance about what you’re going through
• some clarity on your next step and to know when to take action.

Can we both speak with the same Separation Consultant?

Yes. Your Consultant is impartial, and your sessions are confidential.

Some clients like to book two sessions and provide their partner with one to help everyone get on the same page, and some couples prefer to book a bundle of three sessions where they speak to their consultant separately before coming together.

Choose what feels right for you.

Meet Arabella, our Senior Separation Consultant