Maryland contains two expensive real estate markets in both the Baltimore and Washington areas. This ordinarily will make it difficult for a spouse to hold onto the family home after the divorce. However, recent economic conditions actually offer a spouse the opportunity to have a better chance of being able to afford the family home.
The first thing that has changed is that the price of homes has declined recently as the housing market has stagnated. Since the amount of money that one spouse must pay to buy the other spouse out of their share of the home depends on the fair market value, this means that it has gotten cheaper. The second thing is that interest rates are now at historic lows. This gives an opportunity to refinance in a way that cuts down the monthly payments.
However, just because a spouse can afford to keep the home does not always mean that it is a good idea. Real estate is an investment and putting too much of one’s money into it can be a bad idea. At the same time, real estate can also be a very prudent investment and now represents a good opportunity to buy a home for the long run that will almost always appreciate in value. However, one should not wipe out their money to buy a home.
A divorce attorney may help their client who wants to remain in the family home. One gains the right to stay in the house by either coming to a property division agreement with the other spouse or by prevailing in a court hearing in front of a judge. Both of these may benefit from the assistance of an attorney who could either negotiate with the other side or present the best possible case in court.
