As a result, determining whether or not to keep the family home after a divorce is a complex decision that requires careful consideration.
Factors to consider when deciding on keeping the family home
It is important to review the financial implications of keeping the family home. In some cases, it may make financial sense to keep the home, in others it may not.
One option is to buy out the other spouse’s share. To consider this, begin by reviewing the home’s mortgage and determining whether a single income can qualify for the mortgage. This income would be a combination of any earnings as well as potential maintenance and child support payments. If supporting the mortgage on a single income is not economically feasible, consider co-ownership. This requires jointly paying the mortgage, taxes and maintenance costs of the home.
It is also important to keep these additional costs associated with home ownership in mind. Taxes and maintenance can be costly. These bills can include utilities like gas and electric as well as lawn upkeep and unexpected appliance repairs. Look over the previous year’s costs to get an idea of what a future budget would look like to help determine if these costs can be afforded.
In addition to reviewing the financial aspect of keeping the family home, it is also wise to be aware of the basics of property division laws in Wisconsin. Knowing how all assets are split is important to help ensure a strong financial standing after the divorce is complete.
Property division after divorce in Wisconsin
The courts in Wisconsin generally split property received within a marriage equally between the two spouses. This can entail one spouse receiving property and the other receiving a cash payment.
Courts will deviate from this presumption in some situations. For example, the court has the power to set aside property in a fund or trust for children of the marriage. This trust would provide for the children’s support, maintenance, education and general welfare.
The court can also take the following into consideration when making its determination:
- Length of marriage
- Contribution of each party to the marriage, giving economic value to the role of homemaking and child care services
- Age and health of each party
- Contribution by one party to the education or training that results in increased earning capacity of the other party
- Any written agreement made prior to or during the marriage, such as a prenuptial or postnuptial agreement
Generally, property that is attained as a gift or inheritance remains separate. The court can override this assumption if keeping the property separate would create an undue hardship for the other party or children of the marriage.
There are many considerations that can come into play when splitting property in divorce in Wisconsin. Weighing all of these factors and deciding if keeping the family home is the right financial decision can be difficult. As a result, it is wise to seek the counsel of an experienced divorce attorney to discuss your situation and better ensure a divorce settlement meets your needs.