Home Selling During Divorce in PA, So you’re getting a divorce and you need to know what happens to the house… Divorce doesn’t always result in selling the family home. There are actually a few options to choose from and the more amicable the divorce is, the more options you may have!
The most popular options include selling and dividing the equity, buying the other party out or co-owning the home together. Depending on how many large assets need to be divided, one spouse could end up with the home while the other ends up keeping the vacation home or 401k for instance.
If you are in a community property state anything you acquired during your marriage – debts, money, assets for instance – need to be divided. Consult an attorney because there are a few exceptions.
Selling and dividing the equity is probably one of the most common choices. Divorcing spouses can agree on a real estate agent or the court can appoint one, then sell the home. After the existing mortgage and all fees are paid, although not always split evenly, the spouses split the proceeds.
One spouse buying the other out is a possibility. Sometimes selling the family home isn’t always the best option if kids are involved or one spouse just doesn’t want to sell. In a buyout, the spouse keeping the home, pays the other spouse half of the current market value. Again, consult an attorney because there are exceptions.
Co-owning the family home even after the divorce is risky, but possible. Parties will agree on who and when payments will be made and even when the house will be sold and how proceeds will be divided after the sale. Late payments will affect credit scores of both parties even after the divorce….and don’t forget to ask your attorney about capital gains tax.
That doesn’t sound too complicated, does it?! Even the most agreeable divorces can be pretty complex. Hiring the right experts can really make a difference in the process! If you found this post, Home Selling During Divorce in PA, useful, please see our full seminar here.
Again, I’m Kimmy Rolph with Berkshire Hathaway Fox and Roach, and I am available to assist you. Click on the link for more information. Thank you for watching …and remember Kimmy Rolph Sells The Main Line and Local Areas!