Is It Better to Sell Your House Before or After a Divorce?

Disclaimer: As a friendly reminder, this blog post is meant to be used for educational purposes only, not legal advice. If you need assistance deciding whether to sell a house before or after a divorce, HomeLight always encourages you to reach out to your own advisor.

If there’s anything harder than working with someone you don’t like, it’s working with someone you used to love.

And when that collaboration is essential to protecting your most valuable asset, it’s easy for emotional issues to override good business skills and decision-making. That’s why selling a home during a divorce can be especially treacherous for uncoupling couples.

Fortunately, with guidance from the right Realtor, you can still close a successful home sale that allows each spouse to walk away with the maximum amount of equity.

HomeLight experts such as Illinois agent Dawn Bremer and Texas agent Dawn Fore specialize in working with divorcing or divorced clients, divorce and real estate attorneys, mortgage lenders, potential buyers, and even the conditions dictated in divorce decrees and custody arrangements.

One of the first questions clients ask is: Should I sell the house before or after the divorce?

While every situation is unique, there are some drawbacks and benefits HomeLight’s agents suggest their clients should consider.

Benefits of selling a house before a divorce

Selling the home prior to the divorce definitely saves time, money, and hassle because you pay only the routine real estate fees associated with any sale.

If you wait until during or after the divorce to list the house, each spouse is likely to submit the paperwork for review to that person’s attorney and pay hourly fees.

“It’s easier if you sell the house before the divorce and escrow the money,” explains David S. Rubin, an attorney with over 45 years of experience in Baton Rouge, Louisiana. “Then you’re only dealing with the cash. You’ve paid off the mortgage, and you don’t have a problem with indemnification of the borrower.”

If you decide to pursue the sell-first strategy, be sure both parties are committed to the sale and stay legally married until the paperwork clears. Divorcing in the middle of a sale can jeopardize the transaction.

Let’s take a closer look at the benefits of selling a house before a divorce.