When going through a divorce, many decisions need to be made, financial and otherwise. The main priority in any divorce is who will receive custody of the kids. This is a stressful decision which does not need to be made worse by the added stress of breaking up assets, such as the marital home. Going through a divorce is tough, and the financial stress of deciding to sell your home shouldn’t have to make it worse. Even with the best circumstances come challenges. Some divorcing couples stay together for a lengthy period because of an ongoing mortgage payment or a lease that is not up yet.
In many cases, one or both of the spouses want to keep the home. If this is true for you, then you understand that desirability isn’t the issue. It is much more complex. Removing you or your spouse’s name from the title is a fairly simple process. However, removing a person from the mortgage is a different circumstance. Qualifying for a mortgage while in a partnership is much simpler than qualifying for one on your own. So, it is entirely possible that neither you nor your spouse alone would qualify for your mortgage. Especially if you live in an area with an expensive market. This leads to one conclusion: sell your home.
It is normal to feel stress related to the possibility of selling a home, especially in an already stressful environment. We want to help. It is important to do your research and look into all of your options before deciding to sell. If putting your home on the market is time-sensitive, there are options for you. At KM Home Buyers, we were built on family, so we understand that your family comes first. We want to help make the process of selling your home as hassle-free as possible, so you can focus on what is important.
Is it better to sell a home before or after a divorce?
When going through this trying time, you have probably wondered when is the absolute best time to try and sell your house. Should you sell it before the divorce is finalized and nobody has moved out yet? Or should you wait until after the divorce and one party is gone from the premises? Truthfully, there are advantages and disadvantages to both of these options.
Selling the home before the divorce
If you are ready to move out and move on with your life, then selling your home before your divorce is finalized might seem like the best option. There are some advantages to selling your home before the divorce. Reason one is that you may be allowed to receive a higher property tax write-off. If you sell your house before the divorce, most states allow you to write off up to $500,000 from the current year’s capital gains taxes. This might seem like a great financial move, especially if you are short on money. Another reason could be that, when you sell the house before the divorce, there is a concrete amount of money that is to be split between you and your spouse. If you wait until after the divorce, you may have to wait and negotiate to receive your fair share of the funds, not to mention attorney fees. Another compelling reason is that you can put the past behind you and move on with your life. Selling your house quickly takes that stress away in a timely fashion.
Selling the home after the divorce
If you do not feel the need to get out of your home right away, then you may be able to see the advantages of waiting to sell your home. One good reason to stay in your home until after the divorce is that property can be a good investment. The market is always changing, and the property value of your home may increase. But at the same time, you may have to split the money when you do decide to sell the home with your ex-spouse. Another reason to wait is that it is one less thing to worry about. Amid the stress of divorcing, the house may just be an added weight. If you do not have to move right away, then save the housing stress until after the divorce.
Both of these options have their advantages. In the end, it is primarily up to you and your situation as to when you want to sell your home. It may seem more financially friendly to sell the home before the divorce. You may be asking yourself other questions, such as do you have to sell your home and what are your options?
Do you have to sell your house in a divorce?
The marital home is the house in which you, your spouse, and your family live. Who gets the house in a divorce is dependent partially on who wants it. If only one party wants it, then the matter is simpler. Under family law in some states, it depends on where you live and whether or not it is joint property. In the divorce, the judge may that the spouse who owns the property gets to keep it. A judge may also issue a court order that the house is community property, or part of distributing the equity between you and your ex-spouse. In this case, it must be sold.
How you decide to either keep or sell your home is up to you, your spouse, and the laws presiding within your state of residency. When it comes to finally selling the house, there are a few different options that you may have.
How do you sell your house when divorcing?
Let’s say you have decided that it’s in your best interest to sell your home from the divorce. The hardest part of selling a home during a divorce is having to make mutual decisions with your ex, whom you may be having trouble communicating with. This could result a lot of disagreement on how to sell the property which could make the process lengthy and stressful. If you need to sell your home fast, there are options to consider.
Hire a Real Estate Agent
Traditionally, many people turn to a realtor to help them sell their home. But with a real estate agent comes a commission that needs to be paid. Plus, this process could take months to sell your home. If you need a way out, fast, then there are other options.
Sell your house with a cash buying company
When you sell your home with KM Home Buyers, we offer up a no-obligation cash offer the same day. Meaning that we look over your house, offer you a sale price, and take the property off your hands. We deal with any repairs and paperwork, so you can focus on what’s important.
What happens to the house in a divorce?
Depending on the state you live in, there is either the Equitable Distribution Law or the Community Property Law. In community property states, all assets accrued by you and your spouse are divided equally without any other factors taken into consideration. In equitable distribution states, all assets are divided equitably (not equally) among you and your spouse. If the house is a separate property, then the owner gets the house. If it is community property then it can be divided either by agreement or in a court order.
Get Your No-Obligation Cash Offer
Divorces are stressful, and figuring out what to do with your home in a divorce just adds to the stress. If you are ready to get rid of your home and move on with your life, contact our Tampa team. KM Home Buyers wants to make your divorce less stressful by helping you sell your home easily and for the best possible sale price. Call us today to receive your no-obligation cash offer and move on with your life.