The family home is often one of the most valuable and emotionally significant assets a couple can have – and it’s also the source of a lot of conflicts in a divorce.
When it comes to the family home, there are several paths you can take. Here are three common options for dealing with this tricky issue:
You can sell the home and divide the proceeds
Selling and splitting the profits can be a good choice if neither spouse wants to keep the home – or when they need the money to start a new chapter in their lives. However, this option can also be emotionally difficult if the family has lived in the home for a long time and there’s a lot of sentimental attachment to the property.
One spouse can keep the home and buy out the other
This can be a good option if only one spouse has a strong emotional attachment to the home or if there are minor children involved who could benefit from staying put. However, the spouse who keeps the home needs to have the financial means to buy out the other spouse’s share, which can be challenging depending on the value of the home and the other assets involved in the divorce.
You can try co-ownership for a while
A third option is for both spouses to continue to co-own the home after the divorce. This can be a good option if they are unable to sell the home due to market conditions or a lack of equity. However, co-ownership can be complicated and may require a legal agreement outlining the responsibilities of each spouse, such as who will pay for repairs and maintenance and when the co-ownership period will end.
In addition to these three options, there may be other creative solutions for dealing with the family home in a divorce. For example, some couples choose to rent out the home and split the rental income or use the home as a vacation property for both families to share. It’s important for couples to seek legal guidance as they try to determine the best options for their unique situation.
