For divorcing Georgia couples, even contemplating the intricate process of property division can prove to be exhausting. Depending on the number and type of assets, it may be a more straightforward process or an incredibly complex one. In many cases, dealing with the couple’s home can be an extreme challenge. If the home is rented, the issue is less difficult, but if the couple owns a home together, division may prove to be difficult. Often, one spouse buys out the other’s share. This can be done with a new mortgage or gift or personal funds. In some cases, it may be difficult to determine which spouse will get the house. If need be, a divorcing person can see a lawyer to ask for advice on whether buying out the house is wise.
If neither member of the couple wants to keep the house, it may be sold and the profits divided. Some people prefer this, as it protects against sudden real estate depreciation. However, many become sentimentally attached to a house or want to keep it for other reasons. If a spouse opts to buy out the house, it’s important to ensure that the home is refinanced to reflect only one name on the mortgage. If this doesn’t happen and the owner fails to make timely payments, then both people’s credit can be adversely affected.
In some cases, one spouse wants to purchase a home before the divorce is finalized. If this happens, the other will need to sign a quitclaim deed, which would remove any interest in the newly-acquired property.
For those who are divorcing, it can be unnerving to navigate property division and other processes. Consulting a lawyer with experience in divorce may help to streamline the process and avoid common challenges.
Source: Credit.com, “How to Divide Your House in a Divorce“, Scott Sheldon, July 09, 2014