Deciding what to do with the family home is an important consideration in many Texas divorce cases. For many couples, their home is their most valuable asset. Making wise choices is critical to both parties involved in a military divorce, and it makes sense to look at all available options during property division negotiations.
There are two basic choices when it comes to dealing with the family home. The spouses can agree to sell the property and divide the proceeds. Alternatively, one party can retain the house, and buy out the other’s share of equity in the property.
Selling the home is often the simpler approach. While a sale will require finding a real estate agent, negotiating terms and seeing the contract through to closing, the end result is a check that each party can walk away with. Selling the home also provides a sort of emotional blank slate, as both parties will go on to find new housing arrangements.
In some cases, however, one spouse feels strongly that keeping the home is the right thing to do. In order to reach that goal, the spouse who stays will need to find financing to pay for the other spouse’s share of equity. That can be accomplished by a new mortgage on the property, or by agreeing to cede a greater share of other assets to the departing spouse.
No matter which path is chosen, Texas spouses should avoid making any property division decisions without being fully informed of the potential outcomes. The financial ramifications of a military divorce will impact both spouses for many years to come. That is especially true when it comes to an asset as significant as a piece of real estate.
Source: marketwatch.com, “What to do about your home in a divorce”, Shawn Leamon, March 16, 2017