Divorce is, without question, stressful and emotional. It may be difficult for individuals to think clearly and make sound decisions in regard to their financial futures. However, it’s important to be aware of all options when it comes to property division in Massachusetts so that the right choices can be made for the short and long term.
Some individuals simply choose to proceed with the divorce while retaining joint ownership of this house. While this temporary situation may postpone a difficult decision until a less stressful time, there are risks, such as if the real estate market takes a downturn in the meantime. It also leaves ex-spouses tied to each other financially, with shared responsibilities, which may make it harder to move forward. For this reason, many divorcing couples choose to sell their home and divide the proceeds.
Another option is for one spouse to buy out the other. One remains living in the home while the other relocates to new surroundings. The spouse who decides to stay usually evaluates his or her financial circumstances first, determining whether any necessary mortgage payments can be met on a single salary, and whether it makes good financial sense to buy out the other spouse. Spouses who decide to relocate to a new home will want to ensure that the other spouse refinances the mortgage on the marital home in his or her own name; otherwise, the relocating spouse may find it difficult to qualify for a new mortgage since liability on the old mortgage remains.
With emotions often running high during divorce proceedings, it can be understandably difficult to make rational financial decisions. A Massachusetts family law attorney will know the ins and outs of property division during divorce. No matter what an individual’s situation entails, a lawyer will be able to offer sound legal advice and insight to help the divorce proceedings move forward as smoothly as possible.
Source: royalgazette.com, “Your real estate options after divorce“, Heather Chilvers, Jan. 31, 2017