Cutting Edge Solutions...

Old Style Service And Values

Attorneys Vic Hill and Brad MacDonald

How the real estate market may impact your divorce

When couples getting divorced own a home, they will need to decide what to do with the property. Some couples choose to sell the house and split the profit while other couples decide that one person will continue to live in the house. With today’s current housing market, both of these options may be difficult.

Couple who own a home will have to go through the property division process. They will need to have an appraisal done to assess the value of the property to make sure both spouses are getting a fair and accurate property value, especially if one person decides to stay living in the house.

Before getting an appraisal, couples should keep several factors in mind about the real estate market and the impact it may have on their property’s value.

Real estate appraisals are based on comparable sales or the properties near your house that have recently sold. If other properties around your home have decreased or increased in value, then you can expect your house’s value to do the same in most cases. The appraisal does take into consideration any special or unique factors that your property has like if it has pool or an extra bedroom compared to the houses in your neighborhood.

Homeowners should keep in mind that their city’s tax assessed value will be different than the real estate appraisal so don’t expect the value to be the same.

Negotiating a divorce property settlement may seem complicated but it doesn’t have to be. Spouses who are thinking about getting divorced and own property should be sure to consult a divorce attorney to discuss the impact the real estate market may have on their settlement and what steps to take to ensure the best possible outcome.

Source: Forbes, “Seven Key Points Divorcing Women Need To Know About Real Estate and Real Estate Appraisals,” Jeff Landers, Jan. 22, 2013