The marital home is usually the largest asset that a married couple shares. When they go through a divorce, they will have to determine what happens to that home.
While most people automatically assume they’ll need to sell the home, this might not be the case. There are a few options possible for dealing with the marital home. Carefully consider each of these before you determine what to do.
1. Sell the home
Selling the home lets both adults cut their ties with it. If there’s a profit made from it, that can be used to pay off marital debts. Anything that remains is split between the couple. It’s important to get an accurate appraisal for the home and that both parties agree to the sale price of the home.
2. Have one spouse buy out the other
One party can buy out the other person’s share of the home. This can be done through a cash transaction, but it might also involve making concessions in the property division settlement. The important point is that both parties agree to the buyout terms.
3. Retain joint ownership of the home
This is an option that some parents choose to use because it allows the parent who has custody of the children to remain in the home. A clear agreement about who’s responsible for what expenses related to the home is crucial. There may also be terms related to selling the home or having a buyout option once the last child becomes an adult.
Making sure you understand your options for your assets is crucial when you’re going through a divorce. Discussing the situation with someone who’s familiar with these matters may be beneficial.