Your home is probably your biggest asset, so you and your spouse may already have an agreement about what happens to it when you divorce. You might have already decided that one of you will stay in the home or that you will sell it and split the cost.
Some families choose to take neither of those approaches. Occasionally, divorcing couples who owned real estate together will decide to retain joint ownership of the family home or other properties, like a summer home. What are the main reasons that couples co-own real property after a divorce?
Real estate prices in Florida right now are high, and you may not be in the position to buy two houses in the same school district as where you live currently. It can also be hard for children to move back and forth between houses after a divorce.
Parents wanting to keep things as stable as possible for their children may try a birdnesting arrangement. Birdnesting involves the children staying in the same home where they have always lived while the parents stay in the family home during their custody time. This arrangement minimizes how disruptive divorce is for children, but it can be expensive and stressful for the parents.
Houses often require a lot of work if the owner wants the maximum value from the property when they sell it. If you are only halfway through the rehab of your home or if you don’t currently have the resources to invest in making upgrades that would drastically increase the price you can ask, it may make sense to retain joint ownership of the property until you can sell it for the maximum amount possible.
Some couples also decide to turn their prior home into a revenue stream. If neither spouse will live in the family home after the divorce, renting it out could be a way for both spouses to profit from their mutual investment in the property.
Exploring all of the ways to handle your biggest assets can help you maximize your financial stability during a Florida divorce.