CAN I KEEP THE MARITAL HOME?September 22, 2018
In my last blog, “Who should be on my Divorce Team”, I discussed your lawyer, financial analyst and emotional support. In this article I am going to discuss players you may need when faced with the decision of whether to keep or sell the marital home.
One of the most highly contested issues during a divorce is who is going to get the marital home. Decisions are often made on emotion rather than fiscal responsibility. Remember, owning a home comes with the expenses of a mortgage, taxes, utilities, maintenance and insurance.
When faced with what to do with the marital home here are the three most common scenarios:
- Sell the property and split the equity between the parties;
- Buy out the other party; or
- The parties continue to own the property jointly until a date certain, at which time the parties will either sell the home and split the proceeds or one party will buy out the other.
To assist in the decision-making process, I advise my clients to speak with a qualified mortgage broker to determine whether they will have the ability to assume the existing mortgage or obtain a new loan. In the event there is some difficulty in obtaining the mortgage, discussions can now be tailored to finding alternative solutions.
Once the decision is made that the house will be sold, it is a good idea to have spoken with a real estate broker before the Separation Agreement is signed. This is important so that the house can be appraised, and any upgrades or repairs that will need to be made can be completed prior to putting the house on the market. This will allow the property to be sold soon after the Agreement is signed and proceeds will be distributed without undue delay.
At Fleischer Law Solutions, we have a network of real estate professionals that we work with that allow us to prepare and protect our clients throughout the entire sale process.
Book a consultation today to discuss how we can help you obtain the best solution to your legal problem.