Unless one of you refinances the mortgage or buys out the other party, you may plan to sell your Minnesota home when you divorce. You may, too have questions about whether it makes more sense to sell your house while your divorce is ongoing or after it becomes official. There are many important considerations involved in making this decision.
According to HomeLight, there are benefits and drawbacks associated with each option.
What to know about selling a home before a divorce
If you lack the funds to otherwise put down a down payment or make a security deposit on a rental, selling your home before your divorce becomes final may make sense. That way, you might be able to use the profits you make on the sale to finance a new place to live or other aspects of your post-divorce lifestyle. You may also find that selling the home you once shared with your ex helps you adjust to the split faster. However, in some circumstances, you may find that putting your home on the market delays your divorce.
What to know about selling a home after a divorce
Selling your once-shared home requires cooperation from you and your ex. You may not feel ready to work together while you are still navigating child custody, asset division and other such matters. Selling later means you may both have time to cool off, and this may lead to a smoother sale. However, waiting may have negative implications when it comes to you having to pay capital gains taxes.
Ultimately, the most beneficial time to sell your home is going to depend on variables that might include the housing market, your relationship with your ex and your financial big picture.