Going through a divorce can be a challenging and complicated process, and one of the most significant issues that couples have to deal with is deciding who gets the house. The family home is often the most valuable and largest asset that couples own, making the process of dividing it between the spouses more complicated.
What Happens to the House in a Divorce?
Is the House Considered Marital Property?
When couples decide to get a divorce, one of the first questions that come to mind is whether the house is considered marital property or not. In simple terms, marital property refers to assets that the couple acquired together during the marriage.
Can I Keep the House After a Divorce?
If one spouse wants to keep the home, they may often wonder if they can do so after the divorce. The answer to this question depends on several factors, such as the value of the house, whether the house is marital or separate property, and whether the spouse that wants to keep the house can afford it.
Do I Need to Refinance or Sell the House?
If one spouse is awarded the house, it is essential to decide whether to sell the house or refinance it. Refinancing the house is often necessary to remove one spouse’s name from the mortgage and transfer the ownership to the spouse who is keeping the house.
How is the House Divided in a Divorce?
What is Community Property?
In a community property state, any property acquired during the marriage by either spouse is considered community property and is subject to a 50/50 split in a divorce. The family home is no exception.
What is Separate Property?
If one spouse owned the family home before the marriage, the house is considered separate property. In this case, the spouse that owned the house before the marriage can retain ownership, and the other spouse can be awarded their share of the equity in the house.
What is Equitable Distribution?
In states that don’t follow community property laws, courts will use equitable distribution laws to divide the property. Equitable distribution means that assets are divided fairly, but not necessarily equally.
Who Will Be Awarded the House in Divorce?
What Factors are Considered?
When the court decides who gets the house in a divorce, they consider several factors, such as each spouse’s financial situation, the value of the house, the length of the marriage, and what is in the best interest of the children if there are any.
Will the Spouse Who Owned the House Before Marriage Get to Keep It?
If one spouse owned the house before the marriage, they may have a better chance of being awarded the house in the divorce. However, this is dependent on the state’s laws and a variety of other factors that influence the court decision.
Can Either Spouse be Awarded the House?
It is possible for either spouse to be awarded the house in a divorce. However, this decision typically boils down to several factors, including the living arrangements for the children and each spouse’s financial situation.
What Happens to the Mortgage in a Divorce?
Who is Responsible for Paying the Mortgage?
When one spouse is awarded the house in a divorce, they are also responsible for paying the mortgage. However, if the spouse that keeps the house cannot afford to pay the mortgage on their own, they may have to sell the house, or the court may order the spouse to refinance to remove the other spouse’s name from the mortgage.
Should I Sell or Refinance the House to Remove the Mortgage?
If one spouse is awarded the house and wants to remove the other spouse’s name from the mortgage, they can sell the house or refinance it. Refinancing is often the better option since it allows the spouse keeping the house to retain ownership while removing the other spouse’s name from the mortgage.
How Can I Make Sure I Can Afford the House After the Divorce?
If the spouse that keeps the house wants to ensure that they can afford to keep the house, they need to consider the ongoing expenses associated with the house, such as property taxes and maintenance costs. They should also take into account their income and any other financial obligations that they may have.
How Does the Court Decide Who Gets the House?
What if I Want to Keep the House?
If one spouse wants to keep the house, the court will consider several factors before making a decision. They will consider the property division laws in the state, the value of the house, each spouse’s financial situation, and the children’s living arrangements.
What if the House was Purchased During the Marriage?
If the house was purchased during the marriage, it is considered part of the couple’s marital assets, and the court will decide how to divide it between the spouses.
What are the Community Property Rules?
If the couple resides in a community property state, any assets that the couple acquired during the marriage are considered community property. In this case, the house is subject to a 50/50 split between the spouses.
In conclusion, several factors influence the decision of who gets the house in a divorce. It is essential to seek legal advice to fully understand your rights as a spouse and the impact of the state laws on your property division. Whether you keep the home, sell it, or refinance it, it is critical to consider the associated costs and ensure that you can afford the ongoing expenses that come with homeownership.
