Strategies for Dividing Real Estate in Divorce

 Posted on June 07, 2024 in Divorce

From a practical perspective, you cannot divide a house you both own down the middle. Short of putting tape down the center of the living room like a pair of quarreling siblings in a sitcom, there is no way to split the house itself. One or both of you will have to move out unless you determine that it is best for your family to continue living in the same house even after your marriage ends. Our Oakland County, MI divorce attorneys can work with you and your spouse to help you find a way of dividing your interest in the family home in a way that is fair to both of you. We often help clients find creative and effective ways of dividing their real estate property.

Practical Ways to Divide Real Property

A few strategies for dividing your real estate include:

• Sell the house and divide the proceeds - If your house is not yet paid off, this may be the most practical solution. Most families need both parties’ income to manage mortgage payments. Allocating the house to one spouse might put him or her in a difficult financial position. You may both be better off if you sell the property and put the money toward establishing new households. 
• One of you buys out the other’s interest - One of you keeps the house but compensates the other for his or her interest in the home. The spouse who keeps the home might offer the spouse who moves out a larger share of the marital savings or additional property. 
• You each keep one property - If you own multiple real estate properties, such as one house and one vacation condo, it might make sense to keep one property each. Consider whether one of you would be happy to live in the secondary home and how easy or difficult it would be to move the children back and forth between the residences. 
• Rent out the home and share the profits - If your house is in a desirable area or has appreciated significantly in value, it may be worth looking into how much you could earn by renting out your home, either as a residence or a vacation rental. Some spouses find that this strategy would benefit them both financially.
• Cohabit - If your divorce is quite amicable and you have very young children or children with special needs, you could consider living in the same house with separate bedrooms. 

Contact a Novi, MI Division of Marital Property Lawyer 

Elkouri Heath, PLC is experienced in helping divorcing spouses find the best possible solution for dividing their real estate. Our innovative Oakland County, MI divorce attorneys will work to protect your interest while achieving compromise. Contact us at 248-344-9700 for a complimentary consultation.