Selling a House in a Divorce? Here’s What You Need to Know
Mistake 1: Failing to preserve the capital gains tax break. When you sell a house, you won't be taxed on the first $250,000 of gain. Talk with an experienced real estate agent to make sure you can claim this as it will save you a ton of money.
Mistake 2: Allowing emotions to cloud financial decisions. Selling a house is an emotional process for most people. And when you throw the emotions of a divorce into the mix, it can get ugly. It’s so important to stay collected and logical. Otherwise, you could end up making mistakes that will cost you!
Mistake 3: Making the divorce obvious to potential buyers. Buyers can be superstitious, and people might be scared to buy a home where a divorce took place, especially if they're newlyweds!
Mistake 4: Not sharing relevant portions of the divorce decree with your agent. Your agent needs to know the whole story to accurately guide you through the selling process, so share what’s necessary with them.
Mistake 5: Hiring a real estate agent who hasn't worked with divorced clients. Working with an agent who has served divorcing clients will make your life much easier because they'll have the experience you need to avoid these mistakes.
Mistake 6: Letting maintenance around the house slide. A divorce is mentally, emotionally, and physically draining, which makes it easy to let maintenance go. Don't let this happen to you and stay on top of maintenance.
At the end of the day, remember that selling a house is a business transaction, so you need to stay focused. A great real estate agent will provide the experience, knowledge and help you need to stay sane throughout the process.