Considering whether or not to sell your family home can be an overwhelming decision. When determining whether or not you should sell your home after a divorce you should keep in mind the following questions: 

Does it make sense to hold it jointly with your Ex?

Can you keep paying mortgage and maintenance?

How long would you live in the house if you keep it?

What or how much would you give up to keep it?

Are you willing to sign up for any tax consequences if you’d keep it?

If you decide that it is best to divide the proceeds from the sale of the home, then let’s discuss what your home is worth and how much you might receive. 

One way to keep a family home is to have by having a spouse buy out another. Typically the custodial parent will buy out the non-custodial parent’s interest in order for kids to keep living in the house. When having a spouse buy out another you have the advantage of not needing to sell the home or go through the transaction process. 

For a complete guidance based on your particular situation, we recommend you consulting a family lawyer.

We would recommend that you host a traditional sale and not promote you’re selling due to a divorce. When you do so potential buyers might assume you’re selling out of desperation. This might cause buyers to place a lower offer. 

You have the opportunity to complete a deferred sale if you and your ex-spouse agree to do so. We recommend you consulting a divorce attorney to create a written agreement to protect both parties. If one of the parties would like to purchase a second home the lendee will be required to show proof they can afford two mortgages prior to approval. 

If you want to see what your best options are moving forward contact our company or your preferred lender. 

Although it can be fairly easy to get a name off the deed, it can be difficult to get a name off the mortgage. Unless you can show proof that you can afford two mortgages, removing your name from the mortgage is necessary. If the spouse who’s keeping the house isn’t able to make the mortgage payments, your credit score will also be negatively affected.

If you decide to keep the home, you should refinance into a new mortgage loan. 

 Now if the both of you would agree, the moving spouse can agree to keep his/her name on the mortgage in order to apply for a new loan.

It may not be a recommended idea to renovate the family home or to buy new home while the divorce process is ongoing. Below is a couple of reasons as to why: 

 When you buy a new house your divorcee can claim interest in your new home if you didn’t purchase it as a separate property.

Before performing any major repairs or renovations, it is important to make sure you have a written agreement that clearly states how and when the spouse footing the bill will be reimbursed.

For a complete guidance based on your particular situation, we recommend you consulting a family lawyer

A Family Law Attorney Real Property Lien (FLARPL) means the client gives his/her attorney a lien against his/her share of the joint real estate property. This helps to cover the costs of an attorney’s fees if he/she is low on cash. 

This can also be a challenging process for the both parties. For instance, a FLARPL will remain in effect even after the real estate property is transferred to the spouse who did not sign it. He/she has to pay off the lawyer or let the cloud remain on the title.

This is up to your preference, but it can be an inclusive way to help them feel a part of the process. Divorce can be tough on all parties involved – especially for children. Including them in your plan to sell the house, as well as letting them know what the next steps will be, can make them feel a little bit more comfortable about the future. Communication is important part of the transaction and each of our agents would be happy to help you and your family feel more comfortable and heard when buying or selling during your next chapter.