People from Tennessee may be aware that divorce can bring many changes to a person’s life. The couple may have concerns about the effect of divorce on their life and upbringing of their children post-divorce. Also, property division is probably one of the main concerns of the couple. While a major portion of the property may be divided equally between them, both may want to keep the marital home.
If one of the spouses wants to keep the home, an equalization payment, which is half the equity in the home, should be paid to the other spouse. However, if the couple decides to sell the house and divide the proceeds between them, they may agree on a listing price. Once the house is sold, the profits and expenses may be divided equally between them. Sometimes, a couple may decide to rent the house and be co-landlords.
However, if there is a conflict between the two spouses on dividing the marital home, they may seek the court’s intervention for equitable division. A dispute between the spouses may happen if both of them want possession of the home or one may want to sell the house while the other may want to keep it. The court may intervene and decide on the property division. Also, in some cases, the court may order the couple to build a wall inside the house to ensure that both spouses can stay in the house separately.
According to Tennessee law, vacation homes and other real estate assets will also be divided between the couple. Retirement assets, business assets, household goods and automobiles should also be included in the final settlement. The assistance of valuation experts may be used to discover the value of all marital property and to ensure that the valuation of the property is accurately done before the division. Also, all debts must be shared evenly and fairly between the couple.
Property division is a complex facet of divorce and both people should consider all of their legal options before signing off on a divorce settlement.
How Tennessee law approaches division of the marital home
Tennessee is an equitable distribution state, which does not automatically mean a 50/50 split of marital assets. Rather, the court seeks a division that is fair based on the specific circumstances of the marriage.
Under Tennessee Code Annotated § 36-4-121, the court must first classify the home as marital property before applying several statutory factors to determine its distribution, including:
- Duration of the marriage
- Age, physical and mental health of each spouse
- Vocational skills and employability of each party
- Contributions to the property
- The value of separate property
- Economic circumstances of each spouse
The factors above can significantly affect whether one spouse is keeping the home, how equity division will go or if selling the property is a better option.
What factors determine if you keep the marital home in a Clarksville divorce?
While the property division law dictates fairness, practical financial realities often influence whether keeping the home is possible. In Clarksville, judges generally consider several real-world factors, including:
- Refinancing ability: If you can qualify for a new mortgage in your name alone to remove your spouse’s liability
- Equity buyout: If you have enough liquid assets to procure your spouse’s share of the home’s equity
- Maintenance and upkeep: If your post-divorce budget can handle the mortgage, high utility costs, property taxes and home repairs
- The offset method: If you have another asset of equal value that you can trade to keep the house
Keeping the family home after a divorce generally depends on what you realistically can afford and how you set up the final agreement. In some cases, obtaining the house is a workable option. If not, putting the home up for sale and splitting the money can be a simpler way to start fresh financially.
Can having children affect who gets the family home in a Tennessee divorce?
Yes. Tennessee courts often prioritize stability for minor children. Judges may award the family home to the parent who has primary physical custody. This can help keep the children in the same routine and school district while maintaining their social ties.
Talk to a Clarksville property division lawyer today
Navigating the complexities of Tennessee property law requires a strategic approach to safeguard your equity and your future. If you are in the process of ending your marriage, do not leave your home to chance. Contact The Law Office of Steven C. Girsky to schedule a consultation and ensure your property rights are protected.
