A family home in Illinois is where memories are created. These typically include family gatherings during the holidays, or bringing of new babies home from the hospital. However, this same home, filled with such good memories, can become a point of contention for a couple going through divorce in Illinois.
Figuring out exactly what to do with the marital home during the divorce process can be emotionally and financially challenging. It is important to weigh both the benefits and the negatives of holding onto the house. After all, the wrong decision could lead to financial difficulties in the future.
Two people might decide to sell the marital home and then split the proceeds. In this way, both parties are no longer tied to the house and can move on with their lives. An important financial consideration when selling the family home is that capital gains taxes might have to be paid following the sale of the home, which both parties must cover. As an alternative to selling the home, one party may decide to stay in the house and simply refinance it in his or her name. Then, this person can buy out his or her future ex based on how much equity is in the home.
Another option for addressing the family home is that both divorcing individuals keep owning the home as a joint asset. Still, it is important to consider whether one wishes to remain attached to one’s ex financially long after the divorce. Appropriate legal guidance may help people in Illinois to wise decisions regarding how to address the family home during the process of divorce.
Source: palmbeachpost.com, “Deciding What to Do With the Family Home After Divorce“, Mary Ballin, Oct. 31, 2016