Can I Buy a House During my Divorce?
Divorce is often about so much more than ending a relationship. It requires separating finances, property, and daily life. One or both spouses may need to look for a new place to live. With everything in flux, you might have a lot of questions on how to best do that. Are you even allowed to purchase a house during divorce? How do the rest of the assets and debts, and their division, factor into a spouse purchasing a home during divorce?
Realistically, there is much more to consider when purchasing a home during a divorce than can be adequately addressed in one blog post. These are just a few of the important things to think about.
Can I Purchase a House During a Divorce?
The short answer is that yes, for most individuals it is possible to purchase a home, even in the midst of divorce proceedings. However, this comes with the important caveat that both spouses will need to cooperate in order to accomplish this. So, depending on how acrimonious your divorce process is, this might become a sticking point.
Cooperation from both parties will be necessary because title companies in community property states, like California, require that in these circumstances the other spouse must sign and notarize a type of quitclaim deed. This essentially disavows any interest that person may have in the home. If the home is purchased in the midst of a divorce and your soon-to-be-ex does NOT sign the quitclaim deed, the court may very well see the new home as an asset during the divorce, and your ex could end up with rights to the new home.
Can You Afford a New House?
Not really a legal question, but a financial one: are you in a position to take on the financial commitment of a new house?
Divorce dramatically alters finances. What you could conceivably afford before the divorce may not be realistic to commit to during the divorce and after. You may have new expenses such as dedicated child support payments, spousal support, and potentially debts assigned to you at the conclusion of your divorce. Prior to the divorce, you were likely living as a two-income household, and now you will likely go down to one income supporting your home.
If You Still Want to Buy a House
While there is no magic fix that can address a situation of your spouse refusing to sign a quitclaim deed, there are other strategies you can implement that can help you avoid having a new home seen as a joint marital asset.
One important consideration to discuss with your attorney is the date of separation, and how formalizing the date of separation can help you in managing your assets moving forward.
Contact Cardwell Steigerwald Young LLP
Making a large purchase during a divorce can be complicated. In order to ensure you make the move that best suits you in your situation, it is wise to consult with a divorce attorney. A San Francisco divorce attorney with Cardwell Steigerwald Young LLP can help you assess your own case today.
Source:
selfhelp.courts.ca.gov/divorce/property-debts
