These ideas were mentioned a Wall Street Journal article in the 11-7-2014 issue on page M10:
A couple who can’t come to resolution to stay married and decides to divorce may need to sell their home to settle the mortgage debt unless one or the other can purchase their interest in the home, agree to continue to pay for the mortgage even if not living there, or refinance.
The income or credit situation of either spouse may be strained but before the final divorce settlement is signed, the spouse planning to refinance should first ask a lender to run a credit check and perhaps enable a real estate attorney to perform a title search to ensure there are no liens or other encumbrances that may stall the refinance. You may also explore conventional, low down payment, and non-qualified mortgage loans to see which option works best for your situation.
Also, even though a “quit-claim” deed is necessary to legally remove the spouse’s name from title to the property, if done wrong or any liens exist may complicate the transfer. Therefore, you should consult a real estate attorney to process legal property title transfer and advise each spouse on resulting issues that may not be known.
And a good financial advisor may be useful to advise each spouse on their income, assets, and future financial position after their divorce is settled.