Selling Your Home: Before or After Divorce?
Mar 22, 2023
If you are going through a divorce and own a home with a spouse or are dealing with stress accompanying complex property division, there are essential factors to consider.
In Michigan, property division during a divorce is governed by “equitable distribution,” which means that the court will divide the marital property fairly and equitably. Here are some fundamental laws and guidelines for property division in Michigan:
- Marital property: Marital property is defined as any property that was acquired during the marriage by either spouse, with a few exceptions, such as gifts or inheritances that were received by one spouse and kept separate.
- Separate property: Separate property is any property owned by one spouse before the marriage or acquired by one spouse during the marriage through gifts or inheritance that were kept separate.
- Division of property: The court will divide the marital property fairly and equitably but not equally.
- Prenuptial agreements: Couples may also enter into prenuptial agreements that outline how their property will be divided during a divorce. These agreements must be entered into voluntarily and with full disclosure of assets and debts and must not be unconscionable or against public policy.
What are considerations to make regarding property division?
Deciding whether to sell a house before or after a divorce depends on several factors and can be a complex decision. Here are some factors to consider:
- Financial considerations: One of the most significant factors is the economic impact of selling the house. Selling the home before the divorce is finalized may allow both parties to split the proceeds and move on with their separate lives. However, if the housing market is unfavorable, selling the house may result in a loss of equity. Additionally, selling the home after the divorce may be preferable if one party wants to keep the house and buy out the other party’s equity share.
- Emotional considerations: The decision to sell a house can be emotionally charged, especially if it has been a family home for many years. Waiting until after the divorce is finalized may allow both parties to come to terms with the end of the relationship and make a more rational decision about the sale.
- Children’s needs: If children are involved, it may be beneficial to delay the sale until after the divorce to provide them with stability during the process. Selling the house before the divorce is finalized can also create a sense of upheaval for the children, especially if they need to move to a new home or school.
If you are going through a divorce, contact our attorneys.
The legal team at Robbins & Licavoli, PLLC understands that going through a divorce can be one of the most stressful experiences in life. Our team of experienced divorce attorneys are dedicated to helping clients get through their divorces as quickly and painlessly as possible by providing professional support and legal advice throughout the process.
We don’t just provide legal assistance but also make sure our clients know they have someone on their side who will fight for them every step of the way. From your initial consultation until all property has been divided according to your wishes, we work tirelessly with you to ensure viable solutions are reached efficiently so that both parties can move forward with their lives without further stress or hassle.