Dividing the family home during divorce can be overwhelming. It can be helpful for couples who have made the decision to divorce and are facing property division concerns, including the family home, to be familiar with the different options for dividing a family home.
There are different ways a family home can be addressed during the divorce and property division process. The divorcing couple will need to determine which option is best for them based on a variety of factors including their financial and living situations, needs and plan for the future following their divorce. Options for dividing a family home include:
- Both spouses retain the family home as joint ownership – joint ownership is one option to consider, especially if one spouse want to remain in the home until minor children are grown. If the divorcing couple decides on this option, they will need to make sure to agree on how housing-related expenses will be handled going forward following the divorce.
- Sell the family home and split the proceeds – this option requires less ongoing cooperation between the spouses but should take into account tax considerations and the living situations of both of spouses moving forward if they decide to sell the family home.
- One spouse buys out the other – if one spouse wishes to buy out the other’s interest in the family home, it will be important to determine the buyout price of the home. It is also likely that the spouse retaining ownership will need to refinance the mortgage on the home.
There are many important considerations to take into account when deciding on the best option for addressing the family home during the divorce process. As long as the divorcing couple is familiar with their options, they can make a better decision that protects their interests and meets their needs.