A Brief Guide On Selling The House During A Divorce
Going through a divorce can be exhausting for both partners in terms of sharing assets, choosing who gets what, living together to sell the house during a divorce, and finally moving out. But when you are finally done with all these painful tasks, it is time for one of the most rewarding experiences in life – relocating to a new place, buying or renting a house, and starting anew.
However, before you can enjoy the perks of being single again, there is still one issue that needs to be resolved – selling the house during a divorce. This process can prove challenging considering that negotiations must proceed with two parties instead of only one spouse. However, if you follow some simple tips then getting rid of your old family residence should be smooth sailing.
How Is Property Divided During A Divorce?
During a divorce, the marital property is divided among the spouses by either of the following:
– A mutual agreement
– Representation of one spouse by the other, or
– If there is no mutual agreement between spouses then the court will decide on how to distribute the couple’s property. It all depends on what type of property the couple has and if it is located in a community property state or not; if it is joint marital property or considered equally owned then it will be divided equally among both parties but if it is separate property then each party’s respective share of ownership over this particular piece of real estate will stay untouched.
Who Will End Up With The Property During A Divorce?
This is dependent on the individuals going through the divorce proceedings. If one of the spouses is not interested in keeping the property, then it will be up to him/her if they would like to sell it or share ownership. However, there are certain cases when a spouse may end up with the house even if he/she doesn’t want it – this happens when your marriage was long-term and when the couple had children. It is advised to seek legal advice from a divorce attorney to see how you can go about selling the property with your soon-to-be-ex.
How To Sell The House When You And Your Spouse Are Jointly Responsible
When both spouses are responsible for selling the house, then it is advised that they list down all of the assets that they co-own together and that they either determine who would be the one to handle negotiations or if they would like to appoint a neutral third party (such as a real estate professional) to deal with this matter instead of each spouse running after each other’s neck.
If you live in an amicable environment where your spouse respects what you say and vice versa, then there is no need for someone else to get involved; otherwise, make sure you set up some ground rules like “whoever decides must discuss it with the other beforehand”.
In any case, selling a marital home during a divorce can take longer because at least two negotiations must go on before both partners agree regarding its fair market value. This can prove frustrating especially if neither party wants to talk about how much equity is left after their loans have been paid off.
Reasons To Sell The House When Facing Divorce
There are many reasons why a divorcing couple would want to sell their old family home during the divorce process. Here are some of them:
– You don’t have kids so there is no need for you to stay in your marital home once your marriage is over. Selling a house in this situation is more practical because you can gain more equity out of it.
– The cost of a mortgage or financial upkeep will be difficult for either spouse, especially if they do not live close to each other. Maintaining mortgage payments on two properties can be stressful.
– When selling the house, half of its value is shared between both spouses which means that even if it took time before you finally agreed on terms, at least your finances will be more manageable after letting go of this property
A Few Options For Selling The House During A Divorce Trial
You Can Sell The House By Auction
If the house was bought during your marriage then you are allowed to sell it without having your spouse’s consent – this is because both of you already own half of the equity in the property. If one spouse wants to get rid of their share then they can do so by selling it through an auction or public sale while also taking care of their financial liabilities regarding the said house.
However, if there were debts involved in purchasing the home while married, but only one partner wants to sell, then they should have no problem doing so if their name is not listed on any outstanding loans taken out by either party. Debt liability should solely fall on the person who chose to keep his/her name on all papers related to home finance matters.
Sell The House With A Real Estate Agent
This is a more practical way of divorce selling because you do not have to worry about negotiating terms and conditions with your spouse. In this case, you will only need to discuss the overall market value of the property as well as how much equity can be gained from it.
However, if there were financial problems regarding the said marital home, then hiring a real estate professional would be disadvantageous unless both spouses are willing to co-sign on all contracts regarding the property sale. Also, if your name is listed on any loans taken out by either party while married, then you should assume ownership in helping pay off those debts before going into negotiations.
Sell The House For Cash To An Investor
Selling the house for cash to an investor is also an option to be considered. When divorcing couples decide to sell a house choosing this option can help save on expenses that may have otherwise been spent to get the house list ready. Since cash investors buy houses as-is they will not expect any repairs or updates to be done.
When it comes to getting quick cash from selling your old family home there are also many benefits that come with this option: It’s easier and faster than listing the house for sale with a real estate agent.