Can You Lose Your House or Car with a Divorce?Uncategorized
If you and your spouse are having some marital discord and are considering a separation or even a divorce, there might be a million questions running through your head. We understand that the divorce process is unknown to a lot of individuals, and therefore, strive to help make the process go as smoothly as possible.
One thing you might be wondering about is the allocation of assets during a divorce. More specifically, you may wonder if you can lose your house or car with a divorce. The simple answer to this question is probably not the answer you want to hear, yes you can.
However, keep in mind how assets are generally looked at. Anything that you came into the marriage with that was previously owned by you is considered separate property. For instance, if you came into the marriage with a car that was fully paid off and never added your spouse to the title, it would still be separate property and therefore not likely to be taken away from you. However, if you continued to make payments on the car with joint money and/or added your spouse to the title, the vehicle has become a joint asset and a settlement would need to be agreed upon. The same situation would apply with the house.
Couples are urged to come to a settlement agreement that both parties agree with rather than dueling it out in the courtroom. It is common for spouses to agree to each take control of their primary vehicle, and then sell the home and divide any profits. If a settlement cannot be reached, the court will decide the division of assets and typically takes an equitable approach of 50/50. Both parties tend to get half the assets and also assume half of any debt that exists.