Real Estate Issues in New Jersey Property Division Cases
Asset distribution in New Jersey divorce cases can be challenging to navigate, and the process can be made even more complicated when factors concerning the couple’s real estate properties are introduced. Dividing real estate requires extensive work to ensure that a marital asset of this size is divided equitably. These cases also often involve the sale of the real estate property, which can add to the stress of the overall experience. If you are unsure of how to address the real estate issues in your property division case, you should consult a New Jersey divorce attorney for help.
Dividing Real Estate in a Divorce
The main piece of real estate that a married couple typically owns together is the marital home. There are a number of ways that this asset can be divided between the spouses, and this process often involves both spouses selling the property and dividing the proceeds, or one spouse choosing to buy out their former partner’s interest in the property.
The spouses can also choose to own the property together long-term, but this option can create problems as the divorce progresses. In other cases, one party may keep the property and then take less of another asset to make up for that gain. There are different ways that it can be divided in a divorce, but distribution is the most common outcome.
To distribute a piece of real estate in New Jersey, the spouses and their attorneys must first identify the value of the property and then subtract the mortgage, if applicable, to determine the amount of equity in the house. If there is a mortgage, it must be addressed and possibly refinanced to get a spouse’s name off of it if the other spouse will be keeping the property. If neither party wants the house, it would be put up for sale. Otherwise, if one party wants to stay in the house, they will often have to buy out the other party’s interest.
Buying Out the Other Spouse
There are many reasons for one or both spouses to want to remain in the marital home after the divorce. For example, they may not want to deal with more change that would come with moving, and they may see the marital home as a constant in their life. If there are children involved, they may not want to uproot them or force them to change schools. If a spouse wishes to stay in the house after the divorce, they will likely need to buy out the other party’s share. However, it is important for someone making this choice to examine their own financial situation to determine if they are fully capable of refinancing the mortgage and addressing any tax ramifications that may arise. A New Jersey divorce lawyer can direct their client to other professionals that can assist with refinancing in cases involving divorce.
What Happens If Both Parties Want the House?
If both parties want the house, they will often end up in a bidding war between themselves. The outcome of these cases is often determined by the spouse who is willing to pay more for the property. If the parties cannot settle on a resolution, then the court may have to decide. These real estate issues can lead to extremely complicated legal situations, which is why assistance from a seasoned New Jersey divorce attorney can be so valuable.
A New Jersey Divorce Attorney Can Address Real Estate Issues That Arise in Your Asset Division Case
The issues surrounding the distribution of real estate in New Jersey property division cases can become major roadblocks to the finalization of your divorce if you attempt to address them without legal representation. Fortunately, one of our skilled divorce attorneys can help you evaluate your marital property and ensure that it is fairly divided. Contact us today to schedule an initial consultation and learn more about your legal options.
