Do I have to pay the mortgage if I move out?

Do I have to pay the mortgage of the family home if I move out?

If you move out of the family home after separating from your spouse in British Columbia, you may still be responsible for paying the mortgage. However, whether you are required to continue paying the mortgage will depend on several factors, including whether you and your spouse have entered into an agreement or court order that addresses financial obligations.

This can be an interim agreement until final settlement of your family matter. If you and your spouse have a joint mortgage, you are both legally responsible for paying it, regardless of who is living in the home.

If you stop making mortgage payments, your credit rating could be affected, and your lender may initiate foreclosure proceedings.

What if we cannot agree on who is responsible for the mortgage after the separation?

If you and your spouse are unable to agree on who will pay the mortgage or how the mortgage payments will be divided after separation, a court may need to make a decision based on the specific circumstances of your case.

It is very common in family cases to go before the court on an interim application to deal with some urgent issues. The final trial could be as far as a year/two from the start of a family proceeding and some issues cannot wait until then. An interim application in family law refers to a request made to the court for a temporary order or decision on a specific issue while a family law case is ongoing. Interim applications can be made by either party in a family law case, and they typically address issues that need to be resolved quickly, such as financial obligations, support, parenting time, protection order, exclusive possession of the family home, or to prevent the other party from disposing of assets during the proceedings.

Court in early stages dealing with financial obligations will look at factors such as child and spousal support obligations, exclusive occupancy, family property expenses, rental expenses for the party who moved out, etc and grant an order on an interim basis.

What is occupation rent?

If you end up leaving the property and have to pay rent while your spouse is enjoying the use of the family home, you may be able to claim occupation rent. Occupation rent in British Columbia is a legal concept that applies to situations where one spouse continues to live in the family home after separation, and the other spouse is no longer living in the home but still has a legal interest in it. The spouse who continues to live in the home may be required to pay occupation rent to the other spouse for the use of the home. Occupation rent is usually accounted for in the final accounting and depending on the facts of the case, the court may grant the order.

If you are unsure of your legal obligations regarding interim arrangements such as mortgage payments, exclusive occupancy, support, etc after the separation, book a consultation with Raha Seyed Ali, an experienced family law lawyer in Vancouver.