For Tennessee couples going through a marital separation, picking a place to live is an important decision. Divorcing couples must balance emotional, logistical and financial implications to find the right situation.
A family home gets put on the market in 61 percent of divorces. Therefore, Tennessee residents who are ending their marriage may face the prospect of having to move at the same time. This can lead to a stressful sale process that may be full of emotion. However, there are steps that can be taken to reduce the impact emotions may have on a sale.
For many Tennessee couples, the marital home is their largest shared asset. After a couple divorces, it may be a good idea to refinance the mortgage on that home. For starters, it could help to preserve an individual's credit if he or she is not going to live there. While one spouse may offer to buy the other out, both are still liable for making payments if both names are still on the loan.
During a divorce, people from Tennessee will need to divide any shared property. However, they should be aware of some common financial mistakes people make at this stage.
Tennessee residents who are going through divorce will eventually have to divide marital assets and close joint accounts. When closing a joint checking or savings account, one should first get permission from all the account holders. It should be noted, however, that one can close an account without the other spouse's permission.
When a Tennessee resident goes through a divorce, retaining the family home may be a top priority. Alternatively, a person may want to buy a new home with any money that is received in a divorce settlement. However, it may not always be a good idea to ask for or to take control of a marital home when a marriage ends.
The language that is used in property settlement agreements or orders in Tennessee is important, as a case in Georgia demonstrates. In that case, which was decided by a federal bankruptcy court, a family court's property division order was found to be invalid.
Tennessee residents have four options when it comes to handling a marital home in a divorce. First, an individual may choose to buy out his or her spouse's interest in the home. Alternatively, they may allow their spouse to buy out their interest in the property. It may also be possible for each party to retain their interest in the home and continue to contribute to the mortgage and other costs.
A homeowner in Tennessee who is getting a divorce may be concerned about which spouse will be permitted to keep the house. There may be a number of different outcomes to such a situation. The judge might force the couple to sell the house and split the profits. In such a scenario, however, the split might not be equal. For example, if one spouse put more money into remodeling and upkeep, they may also receive a bigger share of the proceeds. If a couple can negotiate an agreement outside of court, they may be able to ensure a plan that's mutually beneficial.
It is not uncommon for Tennessee couples who haven't gotten married to choose to live together. Some do so as a prelude to an eventual wedding, while others might simply prefer to remain single. However, there are some aspects of such a relationship that could prove to be problematic down the road, and one of them involves buying a home together.