How Should Illinois Real Estate Be Handled in Divorce?

 Posted on September 08, 2023 in Divorce

Divorce does not just call for the dissolution of a marriage. It also calls for a complete separation of two lives. This separation includes all things financial, such as real estate assets. Managing real estate during a divorce proceeding can be difficult. Fortunately, a divorce attorney can provide information to assist you throughout the process. 

What Are My Options for Handling Real Estate in a Divorce?

An important part of divorce and real estate is the accurate valuation of real estate assets. The value of a property can impact the distribution of assets as a whole. Real estate values are calculated using market analyses, expert judgments, and assessments. Here are a few options that you can use to handle the division of your real estate in the middle of a divorce. 

• Sell and divide the money between spouses

• One spouse’s buys out the other spouse's share

• Continue to co-own the property together 

What Is Considered Marital and Nonmarital Property in a Divorce?

Assets acquired before the marriage, through inheritance or as gifts, are non-marital property. Assets acquired during the marriage are considered marital property. Illinois follows the equitable distribution concept when dividing up marital assets during a divorce. This means that both spouses must be allowed to have a fair, but not necessarily equal, share of the assets acquired during the marriage.

What Do I Need to Consider About Taxes and Real Estate in My Divorce?

It is important to note that there may be tax consequences from dividing property in a divorce. Selling your home or buying out your spouse could result in tax implications that include: 

• Paying the full property tax rate yourself 

• A larger portion of your salary going towards a mortgage rather than savings or investments 

• Sales tax on property sales 

You should discuss your options openly with a divorce attorney to help navigate this complex situation. They can help you decide on the most efficient path to take by sharing crucial information that will help you make a more informed decision. 

Contact a Rolling Meadows, IL Divorce Attorney For Help

Our skilled divorce and family law attorney at Law Offices of Donald J. Cosley understands how tricky divorce can be, especially regarding real estate. They can help you navigate the process with their knowledge of the legal process. An Arlington Heights, IL, divorce law attorney can help you decide the best choice for you and your unique situation. Please call us at 847-253-3100 for a free consultation.