Selling your home during or after a divorce can be one of the most difficult parts of the entire experience. After spending years creating a home for yourself and your family, you’re at a point where you must move forward to a different chapter, which means leaving this one behind.
Divorce is complicated no matter how you look at it. There are a lot of decisions to be made and emotions to work through. Even if the divorce is amicable, it can still prove to be stressful, especially when it comes to dealing with the house you owned with your spouse.
We’re here to try to make it all a little bit easier. At Homes to Harmony, we take pride in being problem-solvers rather than simply a company that buys homes for cash in the Chicago area. It’s our goal to sit down with you, discuss the situation, and then formulate a plan together that offers the best possible solution.
What Happens to a House During a Divorce?
While many couples do choose to sell their home during a divorce, there are some other options.
One Party Keeps the Home
In some cases, one of the parties keeps the family home. This is because they’re able to even things out due to the splitting of other valuable assets that they own together.
Another reason why one party would keep the family home during a divorce is if there are children involved. One parent will stay in the house with the children while the other moves out.
One Party Buys Out the Other
If one party really wants to keep the home and has the financial means to do so, they may buy out their spouse. This doesn’t necessarily have to be half of the property’s current value, either.
This amount is determined by both parties. Once paid, the party who bought out the other now has full ownership of the home.
Both Parties Co-Own the Home
In some amicable divorces, the parties may decide to co-own the family home. This could look different in many cases.
If the property is an investment or income-generating, it could be in both parties’ interest to keep it.
Sell the House During Divorce
The most common and often easiest thing to do with your home during a divorce is to sell it. This allows you and your spouse to move on to the next part of your lives without finances keeping you intertwined.
If you’ve sold a home before, it’s basically the same process but you divide the proceeds after the sale. Of course, since you’re dealing with divorce other factors can complicate the situation.
When is the Best Time to Sell Your Home When Getting Divorced?
Divorces can take many months and sometimes years to finalize. So, it might be difficult to determine when to actually sell your home during a divorce.
If you’re planning ahead, the best time to sell your home is before you file for divorce. You can get one big issue out of the way and each can get extra money in their pocket. Selling your home for cash is the easiest and most straightforward way to do that.
If you wait to sell your home once the actual divorce process begins, you have to deal with the courts to get approval. This can delay your divorce proceedings and complicate things. It can also become a bit messy while dealing with the other details and emotions involved in a divorce.
Selling your home after the divorce is finalized is not as complicated as selling it during the divorce, but not as easy to sell beforehand either. You’ll want to make sure you sell it within three years after the divorce to still qualify for the capital gains tax exclusion as a couple, too.
How to Split the Proceeds of Selling a Home During a Divorce
When couples get divorced in a handful of states, all of their assets acquired after marriage are split 50/50. However, in states such as Illinois, the division is up to the discretion of the judge based on the situation, length of the marriage, and more.
But, when it comes to splitting the proceeds from selling a home during a divorce using the traditional method, it may look a bit different. There are many things you will have to pay for before you can split the profits. These include the mortgage, taxes, realtor commissions, repairs or renovations, and more. (Selling your home to Homes to Harmony avoids all this.)
Reasons to Sell Your Home During a Divorce
It can be very difficult to leave the place you made a home for these last years. However, there are a few reasons why selling your home during a divorce may be the best option for you and your spouse.
Moving On
Whether you like it or not, you’re in a transitional period of your life where things are changing, and you have to leave some aspects of your life behind. This is a new, fresh beginning for you.
Sometimes it’s much easier to move on from your divorce and heal if you sell the family home. You aren’t constantly reminded of good or bad memories or tied down with a financial burden to maintain the home. Selling the home is a release to start a new chapter.
You Need to Liquidate
Divorces can get very expensive with mediator and lawyer fees. In some cases, a couple may not have enough cash on hand to afford their divorce. Therefore, they choose to sell their home and use the profits towards the divorce expenses.
Reclaim Independence
Every divorce is different, just as every couple’s relationship is different. In some instances, you may simply need to cut all financial ties and communication with your spouse during a divorce. One way to do this is by selling the house so there is one less thing you both own and must put money into together.
Sell Your Home FAST During a Divorce
Not everyone has the patience, time, or relationship with their ex-spouse to sit down with a real estate agent and create a plan to sell their home on the market. Sometimes the market isn’t great for sellers, and you could lose money on the value. Other times, you need a quicker solution.
That’s where Homes to Harmony can help.
We can purchase homes in Bridgeview and the Chicago area in just seven days for cash. No repairs or renovations are required. No real estate agent commissions and fees to account for.
It’s just us and you sitting down to discuss the best plan of action to sell your home during your divorce in the simplest and most profitable way for your situation.
Contact us to see how we can help you sell your home quickly during a divorce today!