Options for handling the marital residence upon divorce

One of the most valuable assets in a Texas marital estate may be the home. During the pendency of the divorce, spouses must decide what to do with their home and other assets. Unfortunately, making these decisions may be a source of frustration and contention.

It may be that one spouse is awarded the marital residence at the end of the divorce. The residence may also be sold, either by agreement or by order of the court. While either scenario may be beneficial and seem like a victory, there are other factors to consider before making final decisions.

It is important to explore all options when it comes to addressing the marital residence and property division during a divorce. One party may be able to "buy out" the other's interest in the residence. While some creativity may be required in dividing the community estate, it is usually not impossible.

The parties may agree that one of them is awarded the home, subject to the receiving party's ability to refinance the mortgage into their own name within a certain period of time. In the event that a refinance is not possible, the parties may agree that the residence should be sold to remove joint liability.

The receiving party may also assume liability of a mortgage in joint name. In this scenario, the other party may transfer their interest in the residence and the receiving party may assume liability of the mortgage. The party being relieved of liability on the mortgage has remedies in the event of a mortgage default. This is typically accomplished via execution of deeds that are recorded in the county where the residence is located.

A family law attorney may work with an individual who has questions about what may happen to the marital residence upon divorce. Divorce attorneys may also provide advice to a client on financial issues, including property division, dividing joint debt, determining the value of property and dividing assets. If necessary, the attorney may represent their client in court.

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