For many women facing divorce, the marital home can represent a symbol of stability, a place where memories were created, children were raised, and futures were once envisioned. It’s no surprise that the thought of giving it up can trigger emotional resistance. However, when it comes to making wise legal and financial decisions during divorce, it’s crucial to ask: Is it worth fighting for the house?
This is an important conversation to have with your attorney to determine your goals throughout the case. There are several different scenarios that can play out in a divorce regarding a martial home.
- What Keeping the House Really Costs
It’s not just about the mortgage. After divorce, you may be solely responsible for property taxes, homeowners' insurance, maintenance and repairs, and HOA fees (if applicable). If you were relying on two incomes to afford these costs, shouldering them alone might put your long-term financial health at risk.
Additionally, there are other possibilities to consider:
Buyout of the Other Spouse’s Equity:
- If one spouse wishes to keep the marital home, they may need to buy out the other spouse’s share of the equity. Equity is calculated as the home’s current appraised or market value minus any outstanding debts secured by the property.
Refinancing the Mortgage:
- If the spouse keeping the home is listed on the mortgage with the other spouse, they will likely need to refinance to assume sole responsibility for the loan. This removes the other spouse’s liability to the lender.
Equalizing Payments or Asset Trade-Offs:
- To achieve a fair distribution, the spouse keeping the home may need to give up other marital assets (e.g., investments, retirement accounts) to balance the division. For example, if the home’s equity is awarded to one spouse, the other might receive a larger share of a 401(k) or other property. These considerations will be case specific and your attorney will be able to walk you through your options.
Selling the Home:
- If neither spouse can afford to keep the home or agree on a buyout, the court may order the home sold, with proceeds split equitably. This is common when financial feasibility is a concern or when neither spouse wants to retain the home.
Joint Ownership Post-Divorce:
- In rare cases, spouses may agree to co-own the home after divorce, often to maintain stability for children until they reach adulthood. One spouse typically lives in the home, while both share expenses (e.g., mortgage, taxes).
- The Emotional Toll vs. Emotional Value
We understand that a home can feel like a safe haven, especially during the emotional upheaval of divorce. But holding onto a house out of sentimentality can cause more harm than good if it compromises your ability to move forward financially and emotionally. Ask yourself: Am I holding on to the house, or what it represents?
- Equity Isn’t the Same as Liquidity
You may have a lot of equity in the home, but that doesn’t mean you have access to that money unless you sell or refinance the home. In contrast, negotiating for other assets like retirement accounts or investment portfolios can provide more stability and flexibility for your future.
- Comfort of Children
If children are involved, keeping the home may seem like a way to provide consistency. That’s valid, but it’s not the only way to create a nurturing environment. Sometimes, a fresh start in a new, more manageable space can benefit everyone. If maintaining the martial home is something that is important to you for your children, the Court may consider what is in their best interests.
- Negotiating for Assets
In high-stakes divorces, the home can be a major bargaining chip. Sometimes, choosing not to keep the house gives you the leverage to negotiate for assets that better support your goals, like full retirement benefits or long-term spousal support.
The bottom line is, before you decide to fight for the house, talk to an experienced divorce attorney who understands your priorities. At Florida Women’s Law Group, we specialize in helping women make strategic decisions that support their independence, security, and future happiness.
Thinking about your next steps? You don’t have to do this alone. Call us at 904-900-2419 or schedule a call here! Our team of experienced attorneys is dedicated to advocating for women's rights and best interests. Take the first step towards a brighter future for you and your family today.
