Questions to Consider if You Want to Keep Your Marital Home in Divorce
There are a great deal of changes to be expected during the divorce process. With so much uncertainty, many people going through divorce seek a measure of stability and would prefer to continue living in the marital home, even after the divorce. Keeping the marital home, however, may not be all that simple.
When deciding if staying or moving is the better option, you will need to consider:
- What is the market like? If the residential real estate market in your area is hot, it may be worthwhile to sell your home and move to another house that suits your new situation. If home prices are not favorable, remaining in your home may be the better option.
- Can you afford the monthly mortgage payment on your own? If you want to stay in your house, you need to crunch the numbers with your new budget in mind. Many individuals going through divorce have a hard time adjusting to a single income and remaining in the marital home can require a sizable amount of money. Ask yourself: If you were not married, would you buy this house?
- What are the other costs associated with the house? While the mortgage note may be your largest consistent expense, homes have other costs such as insurance, taxes, and upkeep. Consider the current condition of your home, and think about what repairs will be likely in the next few years.
- What kind of credit do you have? If your spouse was the breadwinner or put most accounts in his or her name, you may have a limited credit history. In such a case, it may be advisable for you to stay in the home and make payments to build your credit score, which will make buying your next home easier.
- Will staying in your home leave you “house poor”? If the only way for you to stay in the house is to give your spouse most of the liquid cash and other assets, keeping the home may not be a realistic option. You may wish to sell the house and divide the proceeds. Being house poor is common among recently-divorced individuals and occurs when your only asset is your house. It means that you will not have enough cash for other important expenses.
Meet With a Knowledgeable Lawyer
If you are going through a divorce, you will have many questions along the way. An experienced Geneva divorce attorney can help you find the answers you need. Call the skilled team at The Law Offices of Douglas B. Warlick & Associates at 630-232-9700 for a confidential consultation today.