{"id":10981,"date":"2023-04-21T12:14:21","date_gmt":"2023-04-21T17:14:21","guid":{"rendered":"https:\/\/listwithclever.com\/how-to-calculate-a-house-buyout-in-a-divorce\/"},"modified":"2023-08-02T11:51:05","modified_gmt":"2023-08-02T16:51:05","slug":"how-to-calculate-a-house-buyout-in-a-divorce","status":"publish","type":"post","link":"https:\/\/listwithclever.com\/real-estate-blog\/how-to-calculate-a-house-buyout-in-a-divorce\/","title":{"rendered":"How to Buy Someone Out of a House (Plus a Divorce Buyout Calculator)"},"content":{"rendered":"

Divorce buyout calculator<\/a> | How to calculate a home buyout<\/a> | Your options after divorce<\/a> | House buyout<\/a> | Refinancing<\/a> | Splitting proceeds<\/a> | How to buy out a house<\/a><\/p>\n

After a divorce, deciding how to deal with a shared home can be tricky, especially if you're no longer on good terms with your ex-spouse.<\/p>\n

One option is to buy out the remaining amount on the mortgage from your ex-spouse. This is called a house buyout, and though it's common, it's just one of several options.<\/p>\n

What are my options with our house after a divorce?<\/h2>\n

After a divorce, you have a few options when it comes to splitting up your home.<\/p>\n

Buy out your ex-spouse's equity<\/h3>\n

If you and your ex-spouse owned the home together, you'll likely both have equity in the home<\/a>. If you bought the house together, you'll typically split the equity equally. When you buy out their equity, you'll pay your ex for their portion of the home.<\/p>\n

Your ex-spouse's equity might depend on what state you live in and whether you owned the house before you got married. Consult a divorce attorney to help you sort this out.<\/p>\n

If you're considering a house buyout in a divorce, it's a good idea to talk to an experienced local real estate agent before making a decision. An expert realtor can help you explore all your options.<\/p>\n

To find a realtor with the right type of experience, we recommend trying a free agent matching service like Semya-Moya. Clever can help you find a great local realtor<\/a> with experience helping divorced couples \u2014 and it offers additional benefits, like built-in savings on realtor fees when you sell.<\/p>\n

\ud83d\udcb0 Connect with local realtors, get expert advice<\/a><\/p>\n

Refinance the mortgage to buy out their portion of the home<\/h3>\n

If you don't have the money to buy out your ex-spouse, you may be able to refinance the mortgage<\/a>. By refinancing, you can cash out the equity you've built up and use it to buy out your ex-spouse's portion of the house.<\/p>\n

Refinancing also eliminates your ex-spouse's name from the mortgage, meaning they won't be held legally responsible for making payments. This is why you'll often want to refinance even if you have the money ready to buy out their equity.<\/p>\n

If you refinance, you'll need to show the mortgage lender that your income alone is high enough to qualify for the mortgage. If your income isn't, you'll probably have to sell the home, unless you can't come to another arrangement.<\/p>\n

Even if you do qualify for a new loan, don't forget to calculate the cost of maintaining the home. While things like cutting the grass and paying the utilities might seem inexpensive, they add up, especially when you're paying for them yourself.<\/p>\n

Sell the home and split the proceeds<\/h3>\n

If neither you nor your ex-spouse has an attachment to the property or the capital to buy each other out, it's often best to sell. That way, you can divide the net equity and enjoy a cleaner split.<\/p>\n

Even if you don't want to sell, if you can't agree on how to split up the house, the court may order you to sell it as a factor in your divorce proceedings. This is especially common in a community property state, where it's the law to split everything 50\/50.<\/p>\n

Steps to take with your home after a divorce<\/h2>\n

Determine the best way to sell<\/h3>\n

If you and the property\u2019s co-owner decide to sell the house, you have several options. If you have to sell quickly (in a week or less), a cash buyer is often the fastest option. But we still recommend consulting a real estate agent. <\/p>\n

A realtor will work with you to appraise your property and determine how much it could sell for on the open market. If you're pressed for time, you can ask your agent to present you only with cash offers from vetted, local buyers. <\/p>\n

You'll likely sell for a higher price when you work with an agent, and as long as you're up front about what you need, they can help you in your specific situation. Get matched with top realtors in your area today.<\/a><\/p>\n

\ud83d\udc4b Need a great agent on your side?<\/span>

Connect with top local agents who can help you sell on time and for top dollar. You'll pay just a 1.5% listing fee (half the typical rate), helping you save thousands! <\/span><\/p><\/div>

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