Christine Hickey, Esq. 120 East Washington Street, Suite 711, Syracuse, New York 13202 (315) 422-9756
Divorce and the House Marital Residence – The approach in mediation:
Your home is probably one of the largest assets in your marital estate. Retaining the home can also be one of the most important goals for a couple who plan to separate and divorce. As you approach the decision to separate and divorce, you may not be clear about whether or not the house will need to be sold. You or your spouse or partner may wish to keep the house but are unsure whether it will be affordable. During the mediation, we will discuss each of your wishes about retaining the house, selling the house, or co-owning the house, and the related financial issues surrounding each option.
The financial issues include making a determination about the fair market value of the house, the mortgage and/or home equity line of credit balances, separate property credits, and current/future selling costs. These issues will help you determine the equity in the marital residence that is subject to division between you.
You will be evaluating whether or not one person can “buy-out” the other person’s interest immediately and the amount of the “buy-out”. The buy-out may be accomplished by borrowing additional money against the equity in the house, by using other assets (including retirement assets), or by paying a monthly distributive award.
Another important financial consideration is the carrying charges (mortgage, real estate taxes, home owner’s insurance and utilities) for the house. If you agree that one person will retain the house and buy-out the other’s interest, will that person be able to afford to pay the carrying charges. This is considered within the context of your incomes, expenses, child support payments, spousal maintenance payments, and the distribution of other marital assets and debts.
CNY MEDIATION SERVICES, Inc.
Syracuse, New York Mediation
120 East Washington Street, Suite 711
Syracuse, New York 13202
(315) 422-9756 Phone (315) 479-5651 Fax
Website by Cristin Manfredi and Content by Christine Hickey
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