QUESTION
Is my ex wife entitled to the equity at the time of divorce or today’s values?
Asked on Mar 26th, 2013 on Divorce - California
More details to this question:
My ex-wife of 10 years and I co-own a house that I’ve been living in since our divorce in Jan 2011. Due to the decline of the economy the property was not worth selling at the time. Now however, I would like to buyout her share of the equity but we cannot agree on an amount. She has not contributed anything toward the house since she left. The property value has remained fairly flat but I have paid down the principle owed quite a bit. Is she entitled to the equity at the time of divorce or today’s values? Should we calculate the divisible equity deducting her half of the payments? What about deducting Realtor fees?
7 ANSWERS
Family Law Attorney serving Santa Ana, CA
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Law Office of Rhonda Ellifritz
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It usually is the date of trial, reduced by the 1/2 the principle paid down after separation.
Answered on Mar 29th, 2013 at 7:13 AM
Criminal Law Attorney serving Sacramento, CA
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Alison Elle Aleman
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Up to the time of separation, the value of the home (equity) was a community asset. After the separation, since you stayed in the house and paid the payments and upkeep, then that appreciation would be your separate assets. You will likely need the assistance of a real estate expert in your area to determine the value at the date she moved out, and the current value today.
Answered on Mar 28th, 2013 at 5:25 AM
John Arthur Smitten
Equity is based on todays values, you get credit for making all the mortgage payments since she left since she is liable for half and you preserved the marital asset.
Answered on Mar 27th, 2013 at 9:49 AM
Estate Planning Attorney serving Wilmington, DE
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Reger Rizzo & Darnall, LLP
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Normally the value as of date of separation. You can also show only you paying all bills as evidence also.
Answered on Mar 27th, 2013 at 12:55 AM
Personal Injury Attorney serving Atlanta, GA
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Anthony Overton Van Johnson & Associates, P.C.
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Clearly, any issues pertaining to the marital residence should have been addressed at the time of your divorce in 2011. I would be surprised if either of you had legal representation at the time of your divorce, and this issue was not fully resolved. The first step would be to review your Final Judgment and Decree, as well as, your Settlement Agreement (if any). When it comes to the marital residence in divorce actions, if the home is awarded to either party, the division of marital assets will include either the sale of the home or the issuance of a Quit Claim Deed by one party to the other. The issue of any equity is also resolved at the time of the divorce. If there is no equity, then there is typically no requirement that one party "buy out" the other party. However, if the marital residence is sold, then the parties will typically have an equal share in the proceeds of the sale or the remaining debt. You should consult with an attorney, allow the attorney to review your divorce documents and advise you further on how to proceed.
Answered on Mar 27th, 2013 at 12:40 AM
Divorce/Family Law Attorney serving Carlsbad, CA
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Anne B. Howard, A Professional Law Corporation
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If you buy her out its at today's value without deduction for realtors fees. If you lived in the house your mortgage payment could be considered rent.
Answered on Mar 27th, 2013 at 12:29 AM
These questions should have been addressed in the Judgment. If they were not, you may need to bring a motion to get these issues resolved.
Answered on Mar 27th, 2013 at 12:19 AM