Selling Your Home While Divorcing in Salt Lake City – Options During An Emotional Time
Selling your home while divorcing in Salt Lake City can be very challenging. Emotions often run high and there’s a good chance one of the parties would rather just destroy the property. But, thankfully, people calm down and can return to thinking logically again.
In terms of divorce proceedings, we’re often guided by the courts to become more adult than some of us are ready for. Keep the property in shape because if you need to sell it, you’ll want a good price. That, and you won’t want your ex claiming that you destroyed the home which could lead to your sale proceeds being garnished just because of one hothead moment.
Agree to Sell and Split
One very common method of dividing assets during a divorce, like a property, is to list it on the market, sell the home then split any available equity amongst the both of you. This is a common way for divorcing couples who do not have children, especially. It makes things simpler by getting rid of the mortgage and if you’re able to sell it fast, this will speed up the whole divorce. But, if you’re trying to sell in a slow housing market, expect that part of the divorce to drag on much longer.
Speak with a real estate agent. Have them provide you with a fair assessment of your Salt Lake City property. Calculate which costs you can lower, such as negotiating the realtor fees, in order to hold on to as much net profit as you can – also, perform an analysis of the market so you can gauge an amount that the sale might bring.
Ready Your Home for Sale in Salt Lake City
Act as a couple to make sure the home is clean and presentable before selling. Keep in mind that it’s in both of your interest to reach a successful sale. Clear away clutter and create the appearance of a happy home. Don’t stop mowing the lawn. And, you should even consider attending to that honey-do list you’ve been putting off.
She’ll be a little in shock at why you couldn’t find the time to get it done before but you’ll know the value of your sale just went up. That will be a small victory for you.
Your Next House
If you’re going to be purchasing a new house after selling the divorce house, coordinate with your real estate agent to try and time the new home purchase correctly. Divorces get delayed in court and home sales can get slowed down for any number of different reasons. It wouldn’t be smart to become obligated with the new house and have some other things get messy.
Communicate with your lender to get started early on. You’ll want to be prepared, but don’t commit to any loan rates before you’re truly ready to go. You can damage your credit score by continuously applying for new loans.
One Person Keeps The House
This is an option that’s more common where kids are part of the picture (to maintain stability) but can be done in any divorce if both spouses agree to it. In this case, you’d buy the home from your soon to be ex-partner. They will agree to end their stake in the house by way of a quitclaim deed. You will be agreeing to assume the mortgage and buy out their portion of equity from them.
In order to do this and buy out your spouse’s interest in the property, you’ll need to get in touch with the lender to explain the divorce situation and ask them for an assumption of the mortgage. The lender will most likely ensure that you can afford the home on your own by underwriting you as an individual. Be sure to show proof of all sources of income you have, which includes spousal support if applicable.
If the bank won’t allow you to assume the mortgage, you’ll need to try and refinance. If you’re able to get a lower interest rate, this might be a good thing to look into anyways. This will be a mortgage application, so provide proof of all your income and debt in order to meet the requirements.