COMBINING COMPASSION WITH PRACTICALITY

What are some downsides to keeping a marital home?

On Behalf of | Feb 22, 2023 | Divorce, DIVORCE - Divorce, DIVORCE - Property Division |

Some divorcing couples decide to sell off their marital house. However, your spouse may be fine with letting you have the home in exchange for other assets or a buyout. Still, holding on to a marital home might prove to be more difficult than you anticipated.

As the sole owner of your marital house, you must assume all the costs involved. You might be aware of how much mortgage remains and are ready to pay it. However, other expenses or burdens could emerge in the years ahead.

The unexpected costs of home ownership

Budgeting for maintenance, utility and tax bills can help you forecast whether you can support home costs on your own income. However, Money Crashers explains that unforeseen events may burn a hole in your wallet. Mold, pest damage or man-caused calamities are some examples. Even if you have homeowners insurance, it does not cover all possible disasters.

You may be able to cover your home with additional insurance policies, such as flood insurance. Still, there are bound to be home expenses that no insurance will pay for.

The possible need for mobility

Depending on your priorities and your financial situation in your post-divorce life, putting down roots with a house might not be a wise decision. You may have been out of the job market for a while and need to relocate to a community with better work opportunities. Also, if you have an ailing relative, you might want to move in with him or her.

Holding on to a house generally works out if you plan to stay there for a while and build up equity. If your post-divorce situation requires you to make certain life changes, selling off the home and making a fresh start may be of benefit.

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