When you purchased your vacation home with your spouse, you probably thought that your family would be spending all your fun holidays there for many years to come. Now that you are getting divorced, however, you have to decide what will happen to it. Who should get it? Should you sell it? Do you want to keep it? How can you possibly decide what happens to your vacation home?
How Does Georgia Law Divide Property During a Divorce?
When getting divorced in Georgia, your property will be divided based on the equitable distribution rules. Take note that equitable distribution means fair – not equal or 50/50 – which is how community property states divided properties in a divorce. Ideally, you and your spouse decide on how to divide your property amicably and fairly.
Unfortunately, this isn’t usually the case, particularly in divorces involving multiple properties and a significant amount of money. In these cases, the court will step in and come up with a plan to divide the property between the spouses. But first, the court must determine which properties are marital property and separate property.
All property that either spouse acquired during their marriage is considered marital property and must be divided equitably. On the other hand, separate property is any property that either spouse had acquired, was gifted, or inherited before getting married.
This means that if you bought your vacation home during your marriage, it will be considered marital property and would be divided equitably. It is when one of you already owned the vacation home before the marriage, bought it using separate assets during the marriage, or renovated the vacation home using marital assets that it becomes confusing.
What Should You Do With Your Vacation Home?
While the answer will come down to your specific situation, here are common options you should consider:
- Share It – If you and your spouse are on good terms, you can consider retaining the vacation home and just take turns using it. This is a particularly great option if you have kids who also love the house.
- Sell It – While this is usually the most practical and simplest solution, you must consider the current housing values, the mortgage (if applicable), and the memories and emotional ties your family may have to the home.
- Live in It – See if one of you wants to keep the vacation home as a primary residence or second residence. But you must consider the value of the asset, the mortgage, the maintenance costs, and potential capital gains taxes, among others.
Talk to a Skilled Suwanee Divorce Attorney Today
A divorce involving valuable assets, like your family vacation home, can be very daunting. Likewise, the entire process, complex financial issues, and all the monetary considerations can be confusing for the average person. This is where guidance from the Suwanee divorce attorneys of Banks, Stubbs & McFarland LLP can be helpful.
Contact us online or call 770-945-2320 to arrange your free case review today. Our Suwanee divorce attorney can advise you on the best way to deal with your vacation home and other assets included in your divorce.