Strategies to co-own the family residence after divorce.
by Alan Nobler, Emeritus
Not every divorce leaves the ex-spouses at war. In Mediation and Collaborative Practice, we frequently will have couples who, regardless of whatever circumstances drove them apart as mates, remain committed to a cordial relationship for the benefit of co-parenting their children. They recognize they will remain in a relationship with their children for the rest of their lives and the better that relationship is, the more likely that all of their life cycle events can be shared with a minimum of drama.
A key piece of every divorce is what to do with the family residence. Does one parent keep it, giving up other assets in exchange for the equity in the house? Does it get sold? In many divorces today there is not enough money for a parent to keep the house, buy out the other parent, and have enough liquid assets to be secure that any hiccup in the economy won’t lead to catastrophic consequences. So, a partnership agreement is forged to allow for co-ownership of what is usually the largest asset in their estate. [Read more…]