Couples who have been married for a length of time, and then begin divorces, usually have several joint assets. The majority of the time couples decide to split those assets between themselves. This can be difficult. Distributing the net proceeds after a sale is about the only way to fairly divide the family home for instance. If you're in the middle of divorcing, you might question whether this is the best idea for your family. What to do with the house is one of the most common questions about divorce real estate Orange County CA lawyers hear.
Whether or not to sell your home depends on a variety of factors. You and your spouse can decide to hold the asset jointly. This might work as long as you are both communicating.
It's not always the best solution however. If you want to stay in the home, you have to take a hard look at whether or not you can make the mortgage and insurance payments, and pay the taxes on it every year yourself. There is also maintenance to be considered.
If you're sure it's financially and physically feasible for you to stay in the family home, the next step is to figure out what you need to do to buy out your ex-spouse. Many custodial parents are so determined to keep the family home because they are convinced it helps the kids feel more secure and gives them a sense of normalcy. They are willing to do whatever they can to find the cash to buy out the ex-spouse or find some other solution.
If buying him out completely right after divorcing is beyond your means, you might have a discussion with him about a deferred sale. With this arrangement, you and your children stay in the home as long as they are underage. Once the kids reach legal age, you have to sell the house.
This might work for a while. Your ex-spouse will probably want to buy a new house of his own at some point though. That's going to be difficult when his name is already on one mortgage.
If you do have the funds to buy out your ex-spouse, you will need to get the mortgage refinanced. Removing him from the deed is easy. Removing his name from the mortgage is more complicated. You should do it though, because it can affect both your credit scores negatively if one or the other of you is delinquent on payments. You personally have to qualify to get the loan refinanced. You might be looking at a higher interest rate.
When you've decided to sell you might be tempted to advertise it as a divorcing sale. This is almost always a mistake. Prospective buyers will automatically assume you have to get rid of the property and will take whatever you can get for it. Instead of realistic offers, you will probably be inundated with lowball ones that are too unrealistic to bother negotiating.
Whether or not to sell your home depends on a variety of factors. You and your spouse can decide to hold the asset jointly. This might work as long as you are both communicating.
It's not always the best solution however. If you want to stay in the home, you have to take a hard look at whether or not you can make the mortgage and insurance payments, and pay the taxes on it every year yourself. There is also maintenance to be considered.
If you're sure it's financially and physically feasible for you to stay in the family home, the next step is to figure out what you need to do to buy out your ex-spouse. Many custodial parents are so determined to keep the family home because they are convinced it helps the kids feel more secure and gives them a sense of normalcy. They are willing to do whatever they can to find the cash to buy out the ex-spouse or find some other solution.
If buying him out completely right after divorcing is beyond your means, you might have a discussion with him about a deferred sale. With this arrangement, you and your children stay in the home as long as they are underage. Once the kids reach legal age, you have to sell the house.
This might work for a while. Your ex-spouse will probably want to buy a new house of his own at some point though. That's going to be difficult when his name is already on one mortgage.
If you do have the funds to buy out your ex-spouse, you will need to get the mortgage refinanced. Removing him from the deed is easy. Removing his name from the mortgage is more complicated. You should do it though, because it can affect both your credit scores negatively if one or the other of you is delinquent on payments. You personally have to qualify to get the loan refinanced. You might be looking at a higher interest rate.
When you've decided to sell you might be tempted to advertise it as a divorcing sale. This is almost always a mistake. Prospective buyers will automatically assume you have to get rid of the property and will take whatever you can get for it. Instead of realistic offers, you will probably be inundated with lowball ones that are too unrealistic to bother negotiating.
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