In a divorce, your life can change significantly. Your marriage ends. If you have children, you will need to create a custody arrangement that meets their needs. Your finances will change as you begin to live in a single-income household. You and your spouse might also need to find a new home.
While Arkansas courts work to find a fair division of property, a fair solution often depends on the unique needs of a divorcing couple. What might happen to your house in a divorce?
One spouse may buy out the other’s share of their home.
One option for divorcing couples is for one spouse to buy out the other’s share of the home. This can involve a significant amount of funds, but spouses may also be able to trade other assets to reach a fair solution. For example, you may allow your spouse to take a greater share of your investment portfolio in exchange for keeping the house. You might also decide to forego spousal support in order to keep the home.
The couple may sell the home and split the proceeds.
Because the purchase of a home is often one of the biggest investments that couples make, they may not have the ability to buy out their spouse’s share. Others may wish to start fresh in a new home. For these couples, selling their property may be the best way to start their post-divorce life with a strong financial foundation. However, it is important to remember that the time that these sales take will depend on the housing market in your area.
The couple might continue as co-owners of a house.
In some circumstances, a couple may decide to continue co-owning their house. Some decide to pursue this option because they want their children to stay in the home they know. Others maintain co-ownership while one spouse saves enough money to buy out the other’s share. If you and your spouse choose this option, however, it will be important to discuss the details of that co-ownership.
If you are concerned about the fate of your family home in divorce, it may help to speak to an attorney. It is possible to create a legal strategy that addresses your family home and protects your financial future.