What Happens To The House In A Divorce When One Spouse Owns It And The Other Is On The Title?
What happens to the house in a divorce when one spouse owns it and the other is on the title?
Many people have wondered about this. Suppose your name is on the deed, but you never paid down the mortgage? Or what if one of you paid more than the other? What happens when you get divorced? There's an easy answer: whoever owns the house keeps it. It's yours.
That's right, your ex-partner can't just take it, even though they were a major contributor to it. Why? As a result of a case called "Vandiver v. Vandiver", there's a rule that says each party has to be equally responsible for any debt that was incurred during their marriage.
Since whoever holds title to the property is considered responsible for any unpaid balance, if for some reason you can't pay off what's owed on your house when you separate or divorce, then technically, your ex-partner would have to cover it. This also means if your name is on the title and you die first, your heir must pay off the debt to avoid having the bank repossess it from them. If there isn't enough equity in the home for that, then your heirs would be responsible for the amount.
There are a few factors to consider when determining how title to a house is handled. The difficulty of this issue really depends on the type of real estate you own, and the complexity of your marriage (and whether or not you have kids). It's best to discuss this with your spouse before you buy—and certainly before you put a ring on it. One way or another, it's always best to make sure that both people have their say in any major decision.
If you have any questions or need a Real Estate Lawyer, please call this law firm for a free consultation.
Ascent Law LLC
8833 S Redwood Road Suite C
West Jordan UT 84088
(801) 676-5506
