Even if you aim to keep your home after the divorce, a good strategy is to treat it as if you are planning to sell it. Why? Regardless of what happens to the home, you must determine its current value for property division, just like you would if you were preparing for a sale.
An appraisal is often necessary in these cases. Here is some important information you should know.
A brief overview of appraisals
You may have already gone through the process of obtaining an official appraisal when you purchased your home. A licensed professional is often the one conducting the appraisal, but you should still know what to expect from this process.
Appraisals do not only factor in financial aspects but logistical and physical aspects as well, such as:
- Curb appeal and condition of the house
- Proximity to schools or amenities
- Noise pollution and other external factors
- Sale prices of nearby homes
The value determined from these and other key variables will provide an important baseline that informs your path forward.
What do you do with this information?
The most critical step will be to obtain documentation of this appraisal. That will serve as evidence, as well as a reference as you navigate property division in North Carolina.
The next step, once you know the appraised value, will be to consider the following questions:
- How does the appraised value compare to the market value of the home?
- How can you calculate your contributions to the home’s value?
- Can you feasibly afford the house?
- Additionally, is it feasible to buy out your spouse?
Answering these questions can help you calculate the next steps you take.
Dividing the value of your marital home can be a complex matter. However, understanding the details of its value – and the process of determining that value – is key to ensuring you secure your finances.