In Wisconsin, marital property is divided equally between spouses during divorce. When each spouse can agree, the property division process can go smoothly. However, if parties can’t make a mutual decision, the courts will split property equitably. When it comes to the marital house, a couple has several options. Learn more about how property division works in the state and what happens to the marital home:
Whether a couple chooses to sell, divide, or buy out their marital home, it is usually a tough decision to make. Usually, the marital house is the biggest piece of marital property in a divorce, thus, the decisions that surround it should be taken seriously. This makes it important to consult a divorce lawyer because when a couple signs and finalizes an agreement, they won’t be able to go back and change their mind. Here are the options a divorcing couple can consider when dividing their marital house:
Selling the House
If neither spouse wants the marital house or cannot afford to maintain it, both parties can agree to sell the home and divide the profits. During the sale, the couple should take into account both the financial and personal implications. This means they have to focus on things such as the mortgage and the realtor as well as the people who live in the house and the sentimental value they hold in it. The marital settlement agreement should include who sells the house and how the profits must be divided.
Agreeing to a Buyout
Divorcing spouses can agree to a buyout where one spouse keeps the home while the other buys it out and refinances it in their name only. This option makes a lot of sense when the marital estate has a significant amount of other assets. The spouse who keeps the house can exchange certain marital assets for the other spouse’s equity share. For this to be done justly, a third party should evaluate the home’s value before the split happens then both parties agree on what assets to exchange.
Moreover, a spouse who buys out the house can pay for it over a certain period. Following a third-party assessment, the divorce and marital settlement agreement will outline and include the terms of the buyout. Under such situations, co-ownership exists until the buying party fully pays for the house. Also, the home can be divided as couples agree on spousal support.
Co-owning the House
Couples can choose to continue to co-own the house. But this also means sharing the related expenses such as upkeep costs, taxes, and more.
