A divorce can be one of the most emotional times in your life. Since selling a house is already difficult, it can be even more so if you are selling your house during divorce in DFW. With emotions at an all-time high, it is crucial that you act like an adult. Divorce proceedings guide us to be adults.
To get the most money for selling your home, you need to keep it intact. Besides, the last thing you want is your ex-spouse claiming that you damaged the property and garnishing a portion of its value. So, without further ado, let’s dive right in.
Agreeing to Sell and Split
An easy way to sell your home during a divorce is by splitting assets such as the house. All you would need to do is put it on the market and sell it. The sales proceeds would be split equally. Such a process is common when there are no children involved. It helps simplify things by expediting the divorce procedure and eliminating any pending mortgage. However, if the housing market is slow, it can drag things for a longer period of time. This is why it makes sense to speak to a real estate professional.
Ask for an honest assessment for your DFW home and the estimate costs which can help you generate a higher return. To keep your net profits high, it is best to negotiate the realtor fees and conduct a market analysis.
Preparing the House for Sale in DFW
To get homebuyers interested in your DFW home, you need to make it as presentable as possible for the sale. Thus, you would need to clean up the house. Remember, the stakes are high. Try to make the house seem like it is home to a happy family and declutter all the mess.
Make sure to mow the lawn and tackle that honey to-do list that you have always been avoiding. It will increase the sale value of the property.
The Next House
Now, if you intend to sell the marital house and buy a new one, make sure to coordinate everything with the realtor to ensure the purchase is timely made. It is common for divorces to get stuck in court and house sales to freeze for a million reasons. Hence, you have to be honest with the lenders early on and start the process when you make up your mind about getting a divorce. Until you pull the final trigger, you should not lock any rates in while you get prepared. If you constantly run credit for new approvals, it will hurt your credit score.
One Spouse Keeps The Pad
This option is more common among couples who have kids. However, it can still be a viable option if parties agree to one spouse keeping the pad to keep them stable. In such a scenario, you decide to purchase the property from your future-ex who would agree to quit their interest in the said property altogether by submitting a quit claim deed. Resultantly, you would agree to assume the mortgage and buy them out of their equity.
If you decide to buy your spouse out of the mortgage, make sure to contact your lender and explain your divorce situation with them in order to request an assumption of the loan. Generally, lenders will underwrite you as an individual to ensure that you are able to afford the house. Documents of all your income will need to be submitted, including spousal support.
Now, in case the lender does not permit you to assume the loan, you will need to apply for a refinance. It might not be a bad scenario if the interest rates are lower. Since a loan application would need to be submitted, you will need to meet the income and debt obligations.