Financial issues are often the top concern during Texas divorces. People don’t want to undermine their financial stability or lose their most valuable assets. Some people even stay in unhappy or unhealthy marriages to avoid the expense of divorce and the challenges of dividing their property.
Those who have purchased homes with their spouses are often reticent to lose that investment. Homeownership contributes substantially to someone’s overall financial stability and personal wealth. The idea of losing the home in a divorce can deter people from filing even when they are unhappy.
Yet, those who are familiar with what happens during divorce may feel more confident about changing their relationship status. Who typically keeps the house in a Texas divorce?
Couples usually share the home’s value
Contrary to what some people believe, the spouse who keeps the home in a Texas divorce doesn’t walk away with all of its value. The community property statutes in Texas require a more nuanced outcome. Typically, the spouses will have a shared interest in the equity accrued in the home. Each spouse will receive a fair share of community property in the divorce, including some of the home’s value.
One spouse might ask to keep the home and could refinance to withdraw equity from the property to compensate the other spouse. Other times, people may agree to sell the home and share the money obtained from the sale. Ideally, spouses will agree on how to share the home’s equity and who will retain possession of the house. People often need to think carefully about whether keeping the home would be the best option.
If they cannot reach an agreement, the spouses can take the matter to family court. A judge can make determinations about property division for couples who cannot reach their own decisions. Personal income and even child custody arrangements can influence how a judge rules regarding the marital home in Texas divorce.
People often need to be very pragmatic when evaluating whether they should seek to keep their marital home or not if they divorce. Those who realize they won’t lose all of its value in most cases may have an easier time setting healthy goals for the divorce process. Ultimately, understanding that property division does not lead to winner-take-all outcomes may help people feel more confident about filing for divorce in Texas.