When a marriage dissolves, one of the most emotionally charged and complex aspects of the divorce process are dividing the marital property. In particular, the family home often becomes a focal point, not just because of its financial value, but also because of its emotional significance. Understanding how property division works and preparing yourself for this process can help ease some of the stress. Here, a seasoned marital property division attorney offers expert tips to help navigate the often daunting task of dividing the house in a divorce.
- Understand the Basics of Property Division
Before you can begin the process of dividing assets, it is important to understand the laws governing property division in your state. Some states follow community property laws, meaning all assets acquired during the marriage are divided equally between the spouses. Other states follow equitable distribution, which means property is divided fairly, though not necessarily equally, based on various factors such as income, contributions to the marriage, and the needs of each spouse post-divorce. The family home, if purchased during the marriage, is typically considered marital property. However, if one spouse owned the home before the marriage, it may be considered separate property—unless marital funds were used to pay for the mortgage or significant improvements, in which case the house may be partially marital property.
- Get an Accurate Valuation of the Property
One of the first steps in dividing a home is determining its current market value. This can be done through a professional real estate appraisal and check this site out https://burwelldivorcelawyer.com/practice-areas/property-division/. It is crucial to have an up-to-date valuation to ensure both parties have a clear understanding of the home’s worth. Without this, it becomes difficult to negotiate a fair division, especially if one spouse intends to buy out the other or if the home will be sold and the proceeds divided.
- Consider Your Options for the Home
Once the value of the house is established, the next step is deciding what to do with it. Typically, there are three main options:
Sell the home and split the proceeds: This is often the simplest solution, allowing both spouses to start fresh with a clean financial slate. However, selling may not always be immediately feasible, especially if the real estate market is unfavorable.
One spouse buys out the other: In this scenario, one spouse keeps the home and pays the other their share of the property’s equity. This can be a viable option if one spouse is particularly attached to the house or if the couple wants to maintain stability for children. However, the spouse keeping the home must be able to afford the buyout and ongoing mortgage payments.
Co-own the home temporarily: Some couples choose to retain joint ownership for a specified period, especially when children are involved. This allows the children to remain in the home until a later agreed-upon date, such as when they graduate from high school, after which the house will be sold and the proceeds divided.
