Divorce can keep your wheels spinning with wonder about things you have never had to think about, like what will happen to your North Texas house when you and your partner separate for good.
A house is more than just four walls and a roof. It is a personal space in which you are financially and emotionally invested. As such, you likely have strong feelings about what happens to it. To help you plan and adjust for the next chapter in your life, here are some things to know.
Separate vs. community property
If you or your spouse purchased your home before marriage, the home is separate property. Legally, the owner of the separate property does not have to share it in a divorce. However, if you purchased the home during your marriage, it is community property and is eligible for division with your spouse, including both the equity and debt associated with it.
Factors that determine your share of community property
Not all divorces end in contentious court battles. You and your spouse can agree on the terms of your divorce, including asset division, without the court’s input. If you cannot reach a peaceful agreement, a court will determine who receives what percentage of the home and other shared property. Factors that affect a court’s percentage decision include custody arrangements if you have children and the age, health and income of both you and your spouse.
Many factors affect who will keep your home. Understanding how property division works in Texas can help you avoid unpleasant surprises in your divorce proceedings.