For most people, the most valuable asset they own is their home. When you begin the process of getting a divorce in California, your home often plays a central role in the asset division process between you and your spouse. Who gets the home and who pays for the home quickly become huge talking points that you must work out before finalizing your divorce. If you want to keep your home, though, there are some things you need to understand.
The article titles “Follow These Steps to Keep the House After Divorce” from Forbes explains that to keep the home, you will need to get the mortgage into your name only. Your lender will hold you and your spouse responsible, so removing his or her name is essential.
To do this, you will not only have to get a new mortgage but also you will probably have to buy out your spouse, meaning that you pay him or her half the value of the home. Obviously, this will be quite expensive. So, you may need to negotiate to get the best deal from your lender and your spouse.
One of the most common ways to do this is to give up other assets in the divorce settlement that equal the value owed to your spouse for the home. If you have enough assets, you can often avoid having to give your spouse any money and can use the money you do have to get your mortgage. Another option, if possible, is getting your loan amount with extra money attached to pay your spouse.
How you work things out really depend on your finances, assets and overall ability to secure a good mortgage through your lender. This information is for education and is not legal advice.