Divorce is messy, and emotions can run high. As well-meaning friends and family try to offer support and advice, it can be hard to know who to trust. Make sure you understand how to find a team with the right expertise to work quickly to protect your assets and avoid costly mistakes.
As you work with your attorney, be sure to review the following to have some stability and certainty in this difficult season of your life:
1. Find out the true market value of your property.
Do not be fooled into relying on the Zillow estimate of your home. This can lead to costly mistakes as you progress through your divorce. Instead, work with your attorney to find a licensed real estate agent who can give you an accurate valuation of your property.
Finding common ground can feel like a losing battle during divorce, but you and your spouse need to agree on the value of your home in writing to avoid additional legal and appraisal fees. Finding a third party can help this process to be less adversarial and can guarantee that you are both getting accurate information.
2. Find out the actual pay-off of your property.
Work with your attorney to determine the actual mortgage payoff of your loan. While it may be possible to calculate the payoff amount using online calculators, this is often a more complicated and confusing equation than most homeowners realize. Avoid relying on your mortgage documents which only show your balance owed and won’t include all of the mortgage company’s final figures.
As you move forward, you’ll need to qualify for a home on your own income and credit, so you want to understand the equity of the home. Assuming you have positive equity (meaning the home is worth more than you owe on it), this can help you to make better decisions about the sale of a home or refinancing your spouse off the mortgage.
3. Decide (and communicate!) about who is going to pay the mortgage and bills.
Divorce includes a lot of change, so do not assume that because your partner paid the bills in the past that they will continue. Make a plan for your mortgage and utility bills and communicate these expectations with your attorney and your partner.
Without upfront communications, properties can default during divorce proceedings, damaging your credit. Especially in the case of a bitter and messy divorce, you want to make sure that there is no financial retribution that will cripple you moving forward.
4. Check your property title for liens.
Early in the process with your attorney, be sure to have them check your property title to see if any liens have been filed against your home. You want a full and honest picture of your financial situation, and a lien could cause a significant headache on top of the heartache you are already experiencing.
If you discover new information, this can feel like another betrayal so be sure to work closely with your lawyer to understand your rights and the best next steps for your unique situation.
5. Develop a plan for your property maintenance.
Divorce cases and real estate transactions can drag on depending on the level of complication. To maximize the financial pay-off from your property, it’s important to maintain the home’s condition.
Work with your attorney to develop a plan to care for your property, and do not assume that the partner who resides in the home will maintain the home. A few months’ lag can drastically change your home’s value.
Keeping a calm and clear head through your divorce will help protect you and help you to have a stronger financial base moving forward. Take a deep breath as you navigate this new season.
Find the right team of a qualified attorney, real estate professional, and financial planner to help you avoid unfair losses and find your best path forward. Divorce can feel like the end of the world, but peace and financial stability are possible for your future.
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Breann Green is a Certified Divorce Real Estate Expert, specializing as a neutral third party selling homes in the most difficult situations, in addition to traditional real estate transactions. After going through her own divorce in 2015, she was inspired to help others and has over 16 years of experience and 1,000 hours of training. Breann assists family law attorneys with the proper resources to expedite listings and sales to ensure maximum value. Breann’s expertise will help family law attorneys save time and money for their clients.