What Colorado ex-spouses can do with a home in property division

Couples who make the decision to divorce probably know that they will have to make choices on how to divide their marital assets. Here in Colorado and elsewhere, divorcing spouses might have questions on how to handle the property division, since a home typically cannot be physically divided. There are several scenarios that may apply to a couple's particular situation and some tips for each of them that could help everyone reach an equitable solution

For those who are planning on divorcing or separating, but haven't done so, they will need to know that if they attempt to purchase a new home, their spouse could still hold an interest over the new property. A quit-claim deed can remedy this problem, as long as the other spouse is willing to file it. As for the current property, there are several issues to consider.

If one spouse is going to stay in the home, he or she may want to refinance the mortgage and buy out the other spouse's portion of the home. If the home is not worth as much as when it was purchased -- something that is common post-recession -- the spouse who stays may be able to compensate the other person's original investment with gift funds. Gift funds are money from close relatives that may require some additional documentation to use for a mortgage, but they can be a helpful option in this situation.

Even if one spouse is awarded the home over the other, if he or she cannot make proper and timely payments, it can negatively affect the other spouse's credit. For this reason, couples in Colorado who want to divorce may best be served by educating themselves in regards to the laws around property division and exactly what they entail. Whenever possible, both spouses may wish to do their best to communicate with one another in order to facilitate an agreement that is mutually beneficial. If that isn't possible, however, a family law judge will likely intercede to help make an equitable division of assets.

Source: Fox Business, "How to Divide Your House in a Divorce", , July 14, 2014

No Comments

Leave a comment
Comment Information

Our First Meeting

Learn what happens at our first meeting.

Learn More »

Why You Should Hire An Attorney

Learn about the benefits of hiring an attorney.

Learn More »

Our Client Testimonials

See what our clients say about us.

Read All »

Arrange a consultation with our lawyers to discuss your specific situation. Call 720-541-5873 or fill out our contact form.

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Changing the face of divorce.
Contact Us

Littleton Office
13978 W. Bowles Ave. Suite 200
Littleton, CO 80127

Phone: 720-541-5873
Littleton Directions

Craig Office
11 W. Victory Way Unit 205
Craig, CO 81625

Phone: 970-239-4354
Craig Directions

Steamboat Springs Office
465 Anglers Drive
Suite 2D
Steamboat Springs, CO 80487

Phone: 970-628-3795
Steamboat Springs Directions

Grand Junction Office
1003 Main Street
Suite 200
Grand Junction, Colorado 81501

Phone: 970-372-4008
Map & Directions

Aspen Office
600 East Hopkins Avenue
Suite 201
Aspen, CO 81611

Phone: 970-329-2335
Map & Directions