The fate of the marital home in a divorce is a difficult and complicated issue. It is difficult because people have strong emotional ties to a marital home and often feel that they “deserve” the home because they anticipate getting custody or feel wronged by the behavior of their spouse. It is complicated because many legal and factual considerations go into the decision to sell or keep the home.
In general, the home is usually sold. At other times, one spouse keeps the home and buys the other out of their share. Sale is easy, and it ensures that each party gets the correct amount of money – not a speculation as to value by an appraiser but rather what another person will pay you in a free and open market. Prices are also all over the place due to the impact of COVID-19 and may be artificially inflated, making the sale of the marital home the best option. At the current time, interest rates are also in a huge state of flux, making a buyout an expensive proposition.
With a buyout, the person buying must have the ability to pay and make it work. They need to have enough net money each month to pay the house expenses, as well as their other expenses. They must also be able to qualify with a bank or mortgage company to get a new mortgage. Unfortunately, many people are not able to afford the new mortgage or are unable to qualify.
There are many creative solutions to address these issues. An experienced matrimonial attorney will be able to explain options and alternatives.