Divorce and Selling Your House
Divorce and selling your house. Your home is a huge investment. So many memories are created within a home, and when a divorce happens, it becomes an emotional struggle.
The best option for couples going through divorce is finding a divorce Realtor to sell the house and split the equity between each spouse.
Are you going through or thinking about divorce? Have you made up your mind on what you’ll do with your home? Here are some things to help you make the decision about your divorce and selling your house.
If you financed your house through a mortgage, it might turn out to be difficult for one spouse to pay for it. If you seek to buy out your ex through refinancing your home then the mortgage amount could go up.
Another reason you might not want to keep the home is having to buy out your ex, this in itself is another expense you will have to settle first.
Other costs would include insurance, maintenance, and taxes. If you can’t afford it, don’t keep it. Divorce is already hard enough and you might not want additional financial constraints.
Through selling the home, you will find the market value of the home. A spouse buying out the other spouse will not want to pay more than they should. Both parties will always live with doubts on whether they got a fair deal.
You should also consider current tax gains. Being married will give you exclusion in taxes which is higher as compared to a single person selling a house. The amount of profit excluded from federal capital gains for a couple selling their home is $500’000 while that of a single person is half the amount. Couples could take advantage of this and sell their house before they settle their divorce as compared to buying out each other.
A home is more than just a house. It’s a happy place where we find peace and comfort. For a couple going through a divorce, this might not be the case. Why? Because they have bought the home together and it contains memories that affect each spouse in different ways.
For this reason, the home is no longer what it use to be. Neither of the spouses will want a constant reminder of each other. Living in the home might prove to be difficult.
For a couple, going through a divorce and selling the house will help them in moving forward with their lives. Most people who are not ready to accept the divorce will find themselves holding on.
If you find yourself in denial, it might help you if you let go of the memories by selling the house and starting fresh.
A home is the greatest asset a family has, not just financially but also emotionally. If you should decide to keep the home don’t let emotions rule your decision. Think critically on the financial aspect of it too.
Do You Have Questions?
FREE Consultation | Schedule an Appointment