Financial issues are likely to be one of your primary concerns when you get divorced. Decisions about how to divide your marital property will affect the resources available to you after you finalize your divorce. You will also need to be aware of the tax implications of these decisions and the expenses that come with ownership of certain assets. Addressing your marital home can be difficult, since it may be one of your most valuable assets, and both you and your spouse may have emotional attachments to it. By understanding the available options, you can determine the best approach to take as you divide your marital assets.
3 Options for Handling Ownership of Real Estate
If you and your spouse bought your home after you got married, it will be considered a marital asset, even if it was only titled in one spouse’s name. This means that the equity in your home will need to be included in the division of marital property. If either of you owned your home before you got married, it will usually be considered separate property that is not part of the marital estate. However, if the home increased in value during your marriage due to contributions by both spouses (such as using marital funds to pay for home improvements), the spouse who owns the home may be required to reimburse the other spouse for their contributions.
Typically, you will need to take one of three approaches when addressing ownership of your marital home:
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