The property division process is very complicated, especially in high-asset divorces. Your marital home, as well as other real estate holdings, are some of the highest value assets that you might have to divide.
There are some very specific points that you need to think about when you are trying to decide what to do with the marital home and even secondary homes. The choices you make now can have a significant effect on your future since all of these decisions will impact your financial health.
One spouse keeps the home
Some people decide that one spouse will buy the other spouse out of one’s share of the marital home. In this case, you or your ex would be able to shift around assets during the property division process to cover half of the home so that things come out equitably. If this is the option that is chosen, proper documents must be completed to transfer the home only to the rightful party.
You sell the home
If one spouse doesn’t want to keep the home or a decision about which spouse will get it can’t be made, it might be best to sell the home. This should ideally be done as soon as possible after the split, but make sure that everything is ready to get the most out of the home sale. You and your ex could split the proceeds from the sale of the house, so make sure that there is a plan established for what is going to happen.
Before you decide what you are going to do about the marital home and other real estate assets, take the time to think carefully about how each option is going to impact you. If you have children, don’t forget to think about them during your decision-making process.
Your children might not want to have to leave the marital home if that is where they were raised. This might be considered. However, you need to think about the finances too.
When you divorce, your financial situation is going to change. You will be down to only your income. Make sure that you factor this into the decision you make. For example, you need to make sure that you will be able to afford the mortgage, insurance and upkeep, as well as other life expenses that you will have to cover.
As you go about the property division process, remember that your goal is to set up your new life in a way that is beneficial. Even if you have an emotional attachment to the real estate in question, it is best to think with your head and not your heart.