Real estate holdings can easily become a focal point during divorces in Virginia. Many married couples buy homes together, and their primary residence could become a source of contention as they negotiate a property settlement agreement during their divorce. People often become emotional about the home where they lived together, which is understandable.
Some couples own more than one property. Families may have a vacation home where they enjoyed time together in the summer. There are also many married couples who choose to invest in real property. Investments could include buying homes to rent out to tenants or properties in poor condition that they plan to fix up and resell for a profit. These properties can also trigger emotional reactions because of the memories attached to them and/or the future income potential that those properties represent.
Spouses must find an equitable solution
The rules for property division during Virginia divorces require some planning and consideration. The courts will require an equitable solution, meaning a judge will try to divide all of the disclosed marital property and debts in a manner that is fair given the circumstances of the marriage.
Married couples also have the option of negotiating their own property division terms for an uncontested divorce. The process of splitting up investment real property usually starts by establishing the fair market value of each property. From there, couples may negotiate terms based on what they can afford or maintain without the support of their spouse.
Sometimes, people sell investment properties and split the proceeds. Other times, each spouse may keep a certain number of the properties they acquired while married. It may even be possible to have one spouse retain the properties because they manage the business. They would then provide the other spouse with a share of their equity or other assets that are worth a comparable amount.
Any of these solutions can help couples fairly share the overall value of their investment properties during a Virginia divorce. Considering all viable solutions for the most valuable marital property will be important for those preparing for divorce in Virginia, as making this effort can help to better ensure a fair resolution to any concerns at hand.