Tax Considerations When Selling Your Home After a Virginia Divorce
Often, the single biggest asset in a marriage is the home you own with your spouse. If you and your husband own the home jointly, take the time to understand the tax implications of whatever you decide to do with the home after your divorce in Newport News.
Selling Your House After Divorce
There are many reasons women choose to sell the home they shared with their spouse during marriage. Perhaps there are too many painful memories or maybe it is too hard to afford the payments on their own.
If you’re considering selling your home after a divorce in Newport News, it is a good idea to do it quickly. This minimizes the amount of time that you and your husband are tied together on the loan documents and deed to the home. It allows you to become disentangled from your ex more quickly and start fresh in your new life.
Keeping Your House After Divorce
Perhaps you have worked out a way to stay in the home you shared with your ex-husband. If so, consult a tax advisor regarding the mortgage payments and loan documents. Will you be able to afford the mortgage payments? A tax advisor can help you determine if there is a way for you to take over the loan in your name, or if your husband be tied to the paperwork until you sell the home.
Capital Gains Tax
When choosing whether to stay in your home or to sell it, make sure you discuss capital gains taxes with your Newport News divorce attorney or tax advisor.
When you sell the home, regardless of the amount of time that has passed since the divorce, you will most likely have to pay capital gains tax. Many single homeowners can claim a $250,000 exclusion from gain. If your ex-husband’s name is still on the paperwork, even if he hasn’t lived in the home for a long time, he is accountable for capital gains tax as well.
Selling a home is complicated. Be sure to think through the different scenarios and tax issues after divorce in Newport News. Working with a Newport News divorce attorney and a tax advisor will help you make informed decisions.
Contacting a Newport News Divorce Attorney
At this vulnerable time, it’s critical that you have exceptional legal representation that not only understands the specifics of your case, but is dedicated to your best interests and that of your family.
The Newport News divorce attorney team at Hofheimer Family Law Firm represents Virginia women who wish to file for divorce. We are committed to fighting for your rights, assisting in child custody disputes, and advocating that you receive everything you are entitled to and need in order to start your new life. You can learn more by requesting a complimentary copy of our guide, What Every Virginia Woman Should Know About Divorce, or reserving your seat at our monthly divorce seminar – 757-425-5200.