Divorcing the House Could be Disastrous
Imagine the scene. You and your partner start your journey together by finding and buying your dream home. You remodel, decorate and give it your personal touch. Perhaps you start a family and one by one, you bring your babies home to this home that your bought with your “forever love.” Then – one day – someone asks for divorce. What will happen to this house you worked so hard to make a home? Who keeps it? Should it be sold? How will you ever feel at “home” in another place?
“What we call real estate – the solid ground to build a house on – is the broad foundation on which nearly all the guilt of this world rests.” ~ Nathanial Hawthorne
I have often said that you should treat divorce like a business transaction and proceed accordingly. In other words, do not allow sentimentality or emotional attachment to something cause you to make a bad financial decision, that could have long-term consequences for you and your children.
Because this is obviously easier said than done, the most important place for you to start is with the numbers. Meet with a financial expert and make sure that you are using the right real estate professionals to find out exactly what your home is really worth, how much it will cost you if you want to keep it and whether or not this particular house is the best investment in your post-divorce future.
“As human beings we have a tendency when we like something to tie it up and make sure it’s there for a long time. I’ve been working on being able to let things go…”
~ Ricky Williams
Understanding exactly where you stand financially, what you will be able to realistically afford post-divorce and what your current home is really worth and costs to maintain, is critical. How secure would you feel living in a home you love that you could lose to foreclosure because the mortgage payments are not manageable?
Letting go of a home you love may seem unimaginable, especially during a process where you are already feeling so much loss. It may be difficult to imagine now, but if you do have to move out of your family home, you will be able to create that feeling of home again. Even for those that stay in the marital home, one that is full of memories of a past life, it will take work to recreate your old surroundings to reflect your new life.
“A house is made with walls and beams; a home is built with love and dreams.”
~ Ralph Waldo Emerson
Never underestimate the importance of using qualified, experienced professionals.to guide you through the process, so you can make sound financial and real estate decisions now that you won’t regret in the future.
We’ve included articles by three such experts here, as well as a link to a timely webinar that will help you better understand the appraisal process, the importance of prequalifying for any financing you may need and how to collect and understand the real estate documents you’ll need during the divorce process.
You can do this. We’ve got your back.
Articles by the Experts
Understand Your Mortgage Options Before the Divorce is Final by Tony Scarpero, Senior Loan Officer
Enhanced Appraisals - Discover the True Value of Your Home by Mike Congemi, RCS-D®, Certified Residential Appraiser
Keep the Home for All the Right Reasons™ by Lauren Loper, CPRES®, RCS-D®
FREE WEBINAR - Avoid These Real Estate & Divorce Disasters!
Thursday - July 30, 2020 - 1:00 pm EST