The issue of whether or not to sell the family home is likely to form part of your divorce negotiation. Whereas it might be a good idea of dividing the property, there are also good reasons for keeping the home. Here are some reasons why the end of your marriage should not make you sell your primary residence:
Consistency for the Kids
As much as the divorce is between you and your partner, it also has a big effect on your children. The younger they are, the more they are likely to be pained and confused by the separation. One way of helping them cope is to make their post-divorce life as consistent as possible with their pre-divorce lives. Letting them continue living in their family home is one way of providing this consistency.
Difficulty in Purchasing another Home
Many people who sell their homes do so in order to divide the proceeds. Unfortunately, if you have limited resources, low credit rating and a low earning capability, you may find it difficult to buy another home. It is much easier to keep the one you already have. It is best to work it out with your spouse (handle it outside the court) as part of your negotiations.
Sale Costs May Be High
There are circumstances that would make a newly acquired home more costly to sell than an old one. For example, your mortgage agreement might include a penalty for early payoff. Also, the house may not have appreciated during the short period you owned it. This means you are likely to sell nearly at the same price for which you bought it. This is costly because you may not recoup the closing costs. Lastly, you may also miss the tax breaks extended to home sellers who have owned their properties for at least two of the last five years.
Emotional attachment to the home is real, especially if you have owned the property for a long time. Divorcing is like riding an emotional rollercoaster; you don't want to make it go too fast. Keeping the family home is one way of doing this. You want to keep the memories and the personalization that you have invested in the house.
All these are good reasons for keeping the family home, but you should first find out if you can afford to keep it. Will you afford the upkeep, mortgage payments and taxes? These financial considerations are important because you may decide to keep the house only to lose it a few years later. For more information, contact a divorce lawyer like Craig H. Lane, PC.