Dissolving a marriage is a complicated ordeal from both an emotional and a financial standpoint. Unfortunately, when it comes to finances, making emotionally charged decisions rather than logical ones can lead to personally unfavorable outcomes. One mistake that people in Minnesota often make during divorce is to hold onto the family home.
For many individuals, the family home is the place where they saw their children grow up. It is also their biggest monetary asset. In addition, they dedicated a lot of money, time and energy to keeping it in the best condition possible over the years. However, keeping the home in exchange for other marital assets can be one of the worst decisions a person can make while going through divorce.
For starters, maintaining the mortgage payment without the other party’s income may quickly become challenging, if not impossible. Second, continuing to maintain the home can be financially challenging with a single income. Then, when property taxes are added to the mix, the asset of the family home can quickly feel more like a liability. The more money that a divorced individual spends on the marital home, the less money he or she will be able to dedicate to retirement savings, college savings for the children, and even money for emergencies.
Figuring out which financial moves to make during a divorce can no doubt be daunting. Fortunately, though, an attorney in Minnesota can guide a divorcing individual through matters such as asset distribution and even alimony. The attorney’s main aim will be to help the divorcing party to achieve the best financial outcome possible — one that will benefit the client in the months and years ahead.