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If neither party desires to keep the home, dividing the equity proportionately after a sale could work.

However, there are several other important considerations. Who will pay the mortgage, insurance, and taxes while the sale is pending? Who will cover upkeep expenses? Moreover, will someone remain in the home pending the sale? These issues could affect a fair division of home equity.
If a spouse wants to retain the home, the remaining spouse can compensate the other party by forfeiting other community assets in the property division pool. In this case, the party not staying in residence may get a more signi***ant fraction of the other assets or contribute less to the parties’ outstanding debt.
Ultimately, obtaining a correct market assessment of a residence is step one in the property settlement process. If you want to decipher how your property division process might unfold, contact an experienced family law attorney at Goranson Bain Ausley.

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