What should a couple do with their home when they are going through a divorce?
Divorce can be one of the hardest things a person goes through. Figuring out what to do with a shared home can be one of the more stressful parts of a divorce but it doesn't need to be. There are a few scenarios that we have seen that we wanted to share with you. We have helped quite a few families navigate the sale of their home during a divorce and have learned a few things along the way that may be helpful to you.
What are your options? In a situation where a home is co-owned by a married couple, a decision needs to be made on how to split the asset. In most cases it is 50-50 but this depends on the terms of the divorce. In a situation where it is 50-50 there are really two viable options.
Buy out- If one individual wants to stay in the property, they can "buy out" the other individual. If there is no loan on the property then they can either pay them cash or they can refinance the property and cash out the equity and split it with their ex-spouse. If there is a loan in place then it will be a matter of whether their is enough equity in the home to be able to refinance for the amount owed. In either case an appraisal will need to be ordered to establish the market value of the home. A trusted real estate professional can help you establish your homes value to see if this is an option.
Sell the home - In some cases both individuals are looking for a clean break and selling the home that they shared together is the best option. Both individuals need to come to an understanding of what the fair market value of the home is and be realistic about what they will agree to in the sale. We have seen in a number of situations where one party doesn't have reasonable expectations and this usually results in a judge getting involved. This is all avoided if everyone can get on the same page a the beginning of the process and have a good understand of what they can expect. This is where a good agent comes into play. Setting the expectations is a huge part of making a divorce home sale successful for all parties involved.
How can the Ziemers help?
Individual Representation: It is very important for both parties to feel that they have representation during the sale. This can be difficult when dealing with one real estate agent. In our case we have successfully helped divorcing couples sell their homes with minimal drama because there are two of us to work with both individuals separately. Each individual feels that they are being represented and looked out for. At the end of the day both individuals want to sell the home. Our job is to try and keep everyone on track towards achieving this goal with minimal conflict.
We are here to listen: We know that this is a hard time and we know that there are often times hard feelings towards the other spouse and we are here to lend an ear and provide you with the professional advice you need to sell your home for top dollar. If you are going through a divorce and want to discuss your options, please give us a call. We are here to listen and help.