At some point over the course of your marriage, you and your spouse may have decided to pursue your goals of owning a home. Should the two of you decide to take separate paths in life, you might be wondering about each of your options and how best to handle the family home during divorce.
In some cases, the family home may consist of a significant portion of a couple’s wealth and as such will likely play an integral role during negotiations. Prior to choosing to pursue ownership of this asset, it could be in your best interests to understand the possible financial ramifications thereof.
While your home may hold a certain sentimental value, pursuing ownership might not always be the healthiest financial decision. Some factors to consider concerning the home may include the following:
- Spouse’s interests: If your home is marital property, your spouse will likely deserve a portion thereof, and knowledge of what it might cost you to obtain sole ownership of this asset could influence your decisions.
- Value of home: Knowing the true worth of and how much equity you have in the family home could also be vital to forming a strategy on how to approach negotiations.
- Mortgage concerns: Your eligibility to obtain a new mortgage and ability to refinance the home in your name only may also influence your decisions.
- Changes in the market: As the housing market is subject to constant change, so are the interest rates associated with mortgages, and these rates may also increase should you pursue ownership through a buy-out agreement.
Careful consideration of the necessary aspects of pursuing ownership could prove essential to making an informed decision about how to handle the home in divorce. However, knowing the right questions to ask can prove somewhat challenging at times.
The outcome of the end of your marriage could have a substantial impact on your future, even if only temporarily. As such, you might be feeling somewhat overwhelmed by the process and in need of advice. It could be in your best interests to speak with someone who is knowledgeable in Tennessee state divorce laws for guidance. In doing so, you could become better prepared to make informed choices about the home and pursue the most favorable outcome achievable, concerning your future during divorce proceedings.