Divorce and Real Estate

Determining who will take the family house can be one of the most contentious issues when determining asset allocation in a divorce agreement. It is almost always the single largest asset and will also usually have significant emotional and sentimental value for one or both of the spouses. It is not necessarily a given that the house will be sold in the event of a divorce, though that is a prevalent outcome.

The amount of equity ownership in the house must be determined, as well as its appraised value, before it can be calculated into the division of assets. Though the law in each state varies in terms of what to do with asset division and real estate liquidation, common sense and pragmatism often prevail in determining what happens with the house.

If one spouse wants to keep the house, he or she typically has to buy out the other one, which usually takes the form of taking out a new mortgage. Because this new mortgage would have higher payments than before, the person keeping the house may not be able to afford it. If this is the case, the house may have to be sold and the money divided between the spouses.

In all cases, it is best if the spouses can work together to come up with the best possible solution, especially if children are involved.

Contact Us

If you are considering getting a divorce, or if you need help determining the best settlement agreement, contact the West Palm Beach divorce attorneys of Eric N. Klein & Associates, P.A. by calling 561-353-2800.