Dividing assets (and debts) in a divorce is an unavoidable process. When you split up, you will need to divide all the property and liabilities you accumulated during your marriage in a manner deemed equitable, or fair, as directed by state laws.
However, people have a tendency to oversimplify the property division process of divorce, especially when there are few assets or the divorce is amicable. They think they will just split up bank accounts, sell marital property and just divide the profits. In reality, though, this is one of the most complicated elements for a number of reasons.
Determining how much a specific asset is worth can spark disputes. Some assets can be incredibly complicated to assess in terms of value, including certain memberships or business investments. Further, different sources can assign different values to properties, which can make it difficult to agree on which figure to use. Sentimentality can also inflate value of some assets, while seemingly insignificant assets can get overlooked despite having value.
Clashes over whether to keep or sell property
This is a common problem that arises with regard to the marital home. One spouse might want to keep the home while the other wants to sell. To resolve the issue, you will need to figure out if one person can afford to keep the house, how much it will take to buy out the other person, or what the market value of the home would be should you decide to sell it. If both people want to keep the property in question, then division negotiations can stall.
Hidden or undisclosed assets
Intentionally or not, people fail to disclose certain assets during the divorce process. In some cases, they forget about them or feel there is no monetary value. This can happen with digital assets. In other cases, people intentionally hide assets to shield them from division, which is unlawful. In either case, arguments can arise.
Oversimplifying the property division process can be a costly mistake. You could wind up with an unfair or inaccurate settlement, and less than you may deserve. In order to avoid this, it can be crucial that you consult an attorney who can help you navigate this complicated process.