How is a Family House Divided in a New York Divorce?
The process of dividing assets in a divorce is often complicated. This is because spouses tend to not want to give up the things they cherish. Oftentimes, there is a family home thrown into the mix of these situations. When this happens, spouses usually wonder what will happen to the house when assets are divided. It is important to know houses that are considered marital property are subject to equitable distribution, therefore they can be divided. Continue reading below to learn more about how this is done.
When is a House Considered Marital Property?
An asset is considered to be marital property when it is bought or acquired throughout the duration of a marriage. This means that if a couple purchases a home together after they get married, it is marital property that can be divided in a divorce. On the other hand, if a spouse owned the house before the two got married and did not put their partner’s name on the title, it is still separate property. When an asset is separate property, it is not subject to equitable distribution.
How is a House Distributed Equitably?
When equitably distributing a house in New York during a divorce, there are three different ways it can be done. This includes the following:
- Arrange a buyout. One spouse can buy out the other’s equity in the home. The buying spouse can refinance the loan and the selling spouse can receive their share of the equity. Then the loan will be in only the buying spouse’s name.
- Selling the house. This is the easiest option, as most spouses cannot afford to buy out the other and keep up with the costs of the home. The proceeds can be divided equally or unequally, depending on the couple’s situation.
- Continue to co-own the house. When the couple has children together, this is a common option, as they can benefit from staying in their home. This usually results in one spouse moving out and waiting until the house is sold.
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The Law Office of Peter L. Jameson, PLLC understands the harsh implications of relocation can have on a child and his or her parents. When you have a contested relocation matter, it is important to have an experienced attorney to represent you in court. If you are faced with a relocation matter in Rockland County, contact The Law Office of Peter L. Jameson, PLLC today to schedule a consultation.