What is Divorce Real Estate ?

When it comes to real estate involved in a Divorce, are you or your family law attorney (if you have one) able to answer these questions?:

• Should one of the parties retain the house post-divorce?

• Is the marital house title clear and marketable?

• Can the marital mortgage be refinanced, and has the party retaining the house obtained written pre-approval to refinance?

• Is the house in good physical condition?  Have important areas been physically inspected for hidden damage?  What heavy maintenance can you expect in the next two years?

• Can the party retaining the house obtain property, casualty, and title insurance?  Are they a named insured on property & casualty, and title insurance?  Will they have an insurable interest in the house post-divorce?

Although contention and disagreements about the best options for moving forward with the marital real estate are somewhat inevitable, neither party wins in the long-run if there is no realistic agreement.  Common disagreements stem from: 

• The decision to sell the marital house and divide the proceeds, or to have one party keep the property and buy the other party out

• If one party is buying out the other, whether there are enough other assets to cover the equity owed by the retaining party to the party moving out.

• When the house was purchased prior to the marriage, how the equity split should be determined, if it is not equal

• If the marital house is to be sold, which repairs and upgrades should be made and who will pay for them

• If the house will be sold, what level of offer to accept and what, if any, concessions should be made

Every argument and disagreement that prolongs the process will cost the parties real money, either through further legal fees, or opportunity cost as by adding months to the timeline.  In extreme cases the Court may have to impose an Order to sell the property, and this may then be under duress - and that could affect selling price. 

You need guidance and advice on all of these issues!

If you have any doubts about the answers to these questions, we are here to help.  The sooner we can get started on analyzing your situation the quicker we can arrive at the answers and the best solution going forward.  This will save you time and money in the long run.  In many cases, by providing this information to you and your family law attorney in a timely manner, it will speed up the work regarding the Marital Balance Sheet and its proposed equitable distribution, therefore saving you on attorney's fees.

Our services also include advice and guidance on the following important issues to you:

• How does divorce affect your future ability to buy or sell a property?

• How divorce can affect your credit score and your ability to qualify for a future mortgage

• How your living situation could affect your divorce process

• Residential options when going through a divorce

• How the selling of the marital house and moving on can affect minor children going through a divorce

• What various other real estate professionals who might also need to be involved?