Deciding what to do with the family home can be a significant concern during a divorce. The memories made, the stability given and the uncertain future ahead may cause you to doubt whether or not to keep the house.
Carefully evaluate the practical and financial implications before making a decision.
One of the key factors to consider is the financial impact of keeping the house. Consider the affordability of mortgage payments, property taxes, insurance and maintenance costs on a single income. Forbes suggests budgeting for the following groups to determine what you can and cannot afford:
- Monthly income
- Loans and debts
- Monthly credit card payments
- Monthly house payments
Evaluate your post-divorce budget and determine if keeping the house aligns with your financial resources. Additionally, assess the amount of equity you have in the home and its market value. This will impact the division of assets during the divorce proceedings and can help inform your decision.
The emotional attachment to the family home is often a significant consideration. Reflect on the stability it may provide for your children and whether it outweighs the potential financial implications. Consider the memories associated with the house and how keeping it may contribute to your emotional well-being during the divorce process. However, it is important to evaluate whether the emotional benefits outweigh the potential financial burden.
In addition to financial and emotional factors, assess the time, effort and cost required to maintain the property. Consider whether you can handle the responsibilities of home ownership on your own or if downsizing to a smaller property would be more manageable. Furthermore, evaluate your long-term plans and how keeping the house aligns with your goals. Consider factors such as location, size and functionality to determine if the property suits your current and future needs.
Consider your financial, emotional and practical abilities to keep the home in a divorce. If it is not in the cards, keep in mind that your future living space can be a great opportunity for you to make new memories.