Selling property as part of a divorce is one of the most stressful transactions anyone can go through so it helps to have a good agent on your side.
Disagreements between you and your partner are likely to emerge in this type of sale. Arguments can arise about the asking price, how to handle buyer offers, and even whether the home should be sold at all.
The stakes are high, of course, because your home is usually your largest financial asset. So, you need to choose an agent who has expert industry knowledge, demonstrates empathy for your situation and can be trusted by both partners.
As an experienced agent in divorce sales, I have sadly seen similar situations before. My approach is to treat both partners with as much sensitivity and compassion as possible to build consensus and limit the distress of the situation.
I offer the following advice to anyone who must deal with selling their home while going through a painful divorce:
- Assess your financial situation. Estimate the value of your assets and gather all relevant paperwork. When it comes to real estate, values fluctuate, so I’d be happy to provide you with a market appraisal. This will help you understand the numbers of what you’re dealing with.
- My experience suggests the earlier couples can agree on the value of a property, the less painful the process will be for everyone.
- Don’t assume your home will have to be sold. You may be able to buy out your partner’s share. This might mean refinancing your home and meeting higher mortgage payments. Nevertheless, this could make sense, especially if children are involved.
- If you want to retain the home and need to refinance, your partner must agree as the property is likely to be in both your names. Your bank will conduct a valuation of the property. Together with their assessing your ability to make future payments, this will be a crucial element in a successful application to refinance.
- If the property goes on the market, I’ll work with you and be constructive about your asking price and the offers we’ll receive. Arguments can erupt between couples at this stage of the sales cycle. To help mediate any dispute, I’ll show both you and your spouse examples of similar homes sold in your neighborhood recently, and the prices they achieved. It is wise to be receptive to this evidence.
- During the marketing of your property, it’s common for each partner to pay their share of the mortgage. Sometimes, there’ll be an agreement that one person pays less if they’ve moved out and have rent to pay. However, each separation is different. In case of conflict, it is best to seek legal advice.
You can’t avoid the reality that a property sale forced by a relationship break-up is distressing. But with the right agent and legal advice, you’ll minimize your angst and put yourself in the best position to rebuild your life.