If you and your spouse have decided to divorce, you may have one or more properties that are subject to division during your separation. Splitting your marital assets can be difficult, especially if neither of you want to sell your properties or allow the other spouse to buy them.
It’s important to be reasonable as you work toward a solution. Your divorce will go more smoothly, and more quickly, if you are civil with one another and willing to work together.
Dividing your real estate portfolio may be tough, but it’s possible to settle on a solution. Here are three options that may be open to you.
- Sell the properties and split the profits
One of the first options for people with multiple properties is to talk about selling them. For instance, if you have come to an impasse and can’t decide who should keep which properties, selling them and splitting the profits in a fair way may be the best way forward. This method allows you to gain cash from the transactions, too, which may be helpful as you move into living as a single person.
- Rent out the properties and divide the profits
Another option is to rent out the properties but to keep them in your names until you’re ready to sell. For example, if you want to allow a property’s value to increase for the next 10 years, you and your spouse could agree to keep the property and to list it at that time. Until then, renting it may give you the opportunity to bring in an income that you can divide fairly.
- Buy out your spouse and keep the property you want
Buying out your spouse is another option. This can work in a few ways. If your spouse wants to keep a large asset you share, like a boat, for example, but the value is too much compared to what they should receive, you could offer to give them that boat for a larger portion of your home’s value. Then, you could pay any remaining value directly to your spouse. Similarly, if your spouse really wants the family home, they may offer to pay you cash for the value of the property now in order to keep it.
These are a few options available to you. Your attorney can go over others that may work in your situation.