Going through a separation is one of the tough as well as stressful experiences. At the time of divorce, it is to understand and handle the situation. However, it is essential to act wisely. The task of dividing the assets might seem daunting. When you are looking forward to getting things over quickly, it becomes important.
Reasons to Sell House Before Divorce
Every couple buys a house with the thought that they would spend their life together till their last breath. However, when situations change, you need to move accordingly. Now, when you decided to get divorced, you need to take the decision regarding the house. In some cases, one partner leaves the house before the divorce, while others wish to stay in that house.
However, when the house is too big or there is a mortgage on the house, it is better to sell that. There are numerous advantages of selling a house before divorce such as
- Simplified Asset Division
When you plan to sell the marital house before the divorce, it becomes easy to split the money. You can set the amount of money so that the partner keeping kids (if any) get the appropriate amount. In case, you keep the house and sell it after separation, you might need to negotiate and agree toa lesser amount.
- Tax Benefits
In case you plan to sell your marital home before finalizing the separation, the state would allow you to write off a deduction from the taxes. In case you are married as well as filing jointly, you could write off around $500,000 from the taxes of the current year. In case you sell the house after separation, the figure would drop to $250,000. Moreover, it applies only when the couple owned and lived in the house for a minimum of 2 years.
- Peace of Mind
Another benefit is the emotional peace of mind. A marital home carries several emotions as well as memories. You would have spent a good time living, learning about each other, and growing under that roof. When you plan to get divorced, living in that same house could feel devasting. It would be difficult to live in that house and reminders of your relationship. Selling the house would help you overcome a hard time and improve the healing process as well.
Things to Consider While Selling Marital Home Before Divorce
Before you list the house or hire an agent for selling your marital house, ensure you put the non-essential things into storage. Ensure you do not talk about divorce as the potential buyers would assume that you wish to move fast and they would offer a lower price.You would need to prepare the house for showing. In case you do not have many for repairing or updating your house, consider selling your house to home buyers for cash.It would help you avoid the stress of hiring agents as well as a hefty commission.