Should You Sell Your Home During a Divorce?
Divorces are messy. Emotions are heightened, money seems to pour out of every pocket, and things have just become a whole lot more complex than they were before. Although this isn’t a scenario anyone desires to be in, it’s one that happens – and it’s happening quite a lot.
There are many implications that come along with a divorce: strain on both the couple and children (if any are involved), effects on mental health, uncertainty about the next step forward, and possible financial hardships. There’s no denying it: things are complicated.
For homeowners going through a divorce, one of the biggest questions is: what should we do with the house, especially if there’s still a mortgage on it?
Keeping the Home
For many families, keeping the home may initially seem like a very attractive option. The home is tied to memories of life previously lived before everything seemed to go downhill. It’s the shelter you bought and created a life in together.
One of the first questions when it comes to retaining the house is: who is going to keep it? If there are children involved, it’s most often the parent with more custody who may get to keep the home (although this may vary based on every personal situation).
For those who retain the home, the next question is whether they can afford the house payment on a single income. This largely depends on the financial make-up of the household before the divorce and how much legal fees deplete their income after the fact. In fact, researchers estimate that divorced spouses need to make 30% more than their initial income to maintain the same standard of living as they experienced beforehand.
One thing to keep in mind is that even if one of the spouses can take over the house payment in full, the other may remain responsible for payments if the payee can’t make an installment or even pass away.
Selling the Home
In many cases, selling the home and splitting the profits between ex-spouses is the cleanest and best bet during a divorce. It allows both people an equal chance to move on and find a home that best suits their new lifestyle and standard of living.
Unfortunately, just up and selling the home isn’t always the easiest thing to do. There are many concerns which can make it more difficult than it sounds.
As mentioned previously, there are often memories, both good and bad, associated with a home. For some, getting rid of the constant reminders of these memories may be the best way to move on and start the next chapter of their life. However, it’s a bittersweet moment and a decision that shouldn’t be taken lightly.
Selling a home during a divorce may also be difficult depending on the market, the state of the home, and how quickly it needs to sell. For some, selling the home as fast as possible is crucial to starting their new life and avoiding a short sale. However, the home may be in need of repairs before it can be sold traditionally or the market may not allow for a quick sale.
In this case, working with a local, trustworthy, and family-owned real estate investment company might be the best way to go. They’re often able to provide a cash offer with a quick (or flexible, depending on your unique circumstance) close and purchase the house in its current condition, whatever that may look like.
If you’ve decided that keeping your home may not work for you or your ex-spouse, talk to us. We’re a local family-owned real estate investment company committed to helping you sell your home in a way that works best for you. Start today by requesting an all-cash offer.