When it comes to divorce settlements, the marital house is often a sticking point in negotiations. It can be difficult to decide what to do with such a large marital asset. If you and your spouse aren't sure what to do with the house, you should sit down with an attorney and discuss your options. Here are the three most common options that are available to you.
If you and your spouse don't have minor kids, it might be in your best interest to sell your marital home and split the proceeds evenly between the two of you. This will allow you both to walk away from the responsibility of a mortgage, while also providing you with much-needed cash. If you choose to sell the house, you need to take the current mortgage into consideration when determining how much cash you should walk away with. Once you sell your home, the mortgage will be paid off, which means you and your spouse will split whatever is left over.
If you and your spouse do have minor children and you plan on having primary custody, you might want to consider keeping the marital home. Retaining ownership of the home will ensure that the children continue living in their family home, which can alleviate some of the stress and emotional turmoil children can experience after a divorce. If you do decide to keep the house, it's important for you to consider your monthly budget. You'll need to make sure that you can afford the monthly mortgage payments, as well as the upkeep of the property. If you don't think you'll be able to afford to continue living in the home, it might be better to sell the home and use the proceeds to purchase a smaller, more affordable home.
Rent It Out
If you and your spouse have agreed to sell the home, but the market isn't favorable at this moment, it might be in your best interest to rent the home until the market improves. Renting the home out will provide an income to use for mortgage payments while you wait for the right time to sell.
Divorce is never easy. Trying to decide how to split marital assets can make the process even more stressful. If you and your spouse aren't sure what to do with the house, use the information provided here to help you choose the option that's best for both of you. For questions or concerns regarding your divorce settlement, and the division of property, be sure to speak to a family law attorney at a law firm like Urech & Livaudais PC as soon as possible.Share