The sale of the marital home is one of the most important parts of the divorce process, as it serves the purpose of either disbursing equity to each party or ridding the parties of a large amount of debt. Here are some key terms that can help you in your selling process.
- Realtor– If the parties cannot agree on a realtor then the Judge will most likely order a specific realtor handle the sale of the home, so it is important that the parties agree on the realtor. If the court must name a realtor, then that realtor may be given the discretion for all major decisions moving forward.
- Appraisal– The house will not only need to be appraised, but improvements may need to happen before the home can be listed for sale. With regards to improvements, unless otherwise agreed upon or court-ordered, the improvements will be paid by the parties equally.
- Listing Price– The Listing Price can be one of the more contentious issues when selling a home as it has a direct effect on how much each party will earn from the sale. Again, the process can be made easier if the parties agree on for the listing price or there is the potential the judge will have a realtor determine the listing price.
- Offer– When an offer on the house is made by a potential buyer the parties will need to agree on accepting the offer. If this agreement cannot be reached, then there is a possibility the Judge could order parties to take the offer if it is within a certain percentage of the listing.
- Closing– The closing process is typically the easiest part of the process as it is the last part and only requires the signatures of the parties. Should one party refuse to sign the closing documents the Judge can take action against them, including reallocation of closing costs and attorney’s fees.
- Disbursement of Proceeds– Once the closing has been finalized and the funds have been provided, the parties should disburse the funds from the sale as provided for in the Marital Settlement Agreement or court order.
Similarly, to other aspects of divorce proceedings, it is in the parties’ best interest to attempt to agree upon all steps of selling the house. This will allow parties to keep down litigation costs as well as maintain control over the process instead of control being placed with the court. We understand these topics can cause some stress and we would encourage you to consult your attorney should you have any specific questions. Additionally, if selling is not in your plans view our blog on refinancing as a potential alternative.