Considering the fact that the marriage failed in a home with bad memories often contributes to the decision for both soon-to-be ex-spouses to sell the home jointly and then split the profits. In fact, in many divorces, this happens to be one of the most normal and common divorce decisions to resolve the situation. Just make sure you’re doing it correctly and for the right reasons….
What You Need to Know About Selling a House Jointly During a Divorce
Think about taxes for a moment…. What happens when you sell the home as a primary residence? You could literally walk out of the deal with $250K, for example, tax free. If you’re filing taxes jointly with your ex, that number could spike up to $500K.
That’s a lot of good money in your pocket just for selling that home. Maybe the bad memories can turn into some major profit if you play the cards right, stage the home, utilize social media for real estate selling strategy, and get out of their fast.
Just Be Sure to Prove That the Home Has Been Your Primary Residence for at Least Two of the Last Five Years
And you can only use that tax-free benefit once every two years. See? Selling a home can mean big bucks (even during divorce). Just keep real estate capital gains tax law in mind, consider the timing, consult with a professional with the Income Tax Planning Network, and you just might discover that this may be the right option for you.