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I Want to Get a Divorce But I Cannot Because I Can’t Sell My House!

By
Real Estate Agent with Dave Halpern Real Estate Agent, Inc., Louisville, KY (502) 664-7827

Here is what I often hear:

I can't stand my spouse and want to get a divorce. The only thing holding me back is that we have a house worth less than the mortgage and neither one of us can afford mortgage payments by ourselves. Therefore, we would have to sell before getting a divorce. Please, any suggestion will be helpful. I need to get out of this marriage ASAP.

 The answer could very well be a short sale

A short sale can get the house liquidated even if you owe more than the home is worth. In effect, your lender pays commissions and closing costs so you don’t have to.

You have to move on with your life, the house does not have to be a ball and chain. You do not have to live in a loveless marriage or what is sometimes called a “roommate marriage.”

Get rid of that house so you can move on! The short sale can be handled by a professional short sale Realtor in parallel to the divorce proceedings.

What is a short sale?

A short sale occurs when a house sells for an amount short of the full amount owed to the lender. Hence the word “short” in short sale.

What happens to the difference between what is owed and what the lender gets?

In an ideal short sale, the shortage is forgiven and the borrower never has to pay it back. Yes, in most cases the lender issues a forgiveness of the debt, in writing. Often the forgiven debt is tens of thousands of dollars or even hundreds of thousands of dollars. Please note that sometimes the lender does not forgive the deficiency, it is on a case by case basis.

So what is the next step?

Your divorce attorney should know about the short sale option and its benefits in a divorce situation. You should also research who is the best short sale Realtor in your city, who has successfully closed the most short sales and knows how to handle short sales in divorce situations.

In Louisville, KY and surrounding counties call Dave Halpern, Real Estate Broker, Louisville Short Sale Expert. I personally answer my phone (502) 664-7827 and will spend all the time you need to clarify all your questions and concerns. Please review my “Divorce and Short Sale” website for benefits specifically in a divorce situation.

Dr. Paula McDonald
Beam & Branch Realty - Granbury, TX
Granbury, TX 936-203-0279

Yikes.  Never a good situation and sadly one that we encounter a lot these days.

May 06, 2011 01:16 AM
Dawn Crawley
Dawn Crawley Realty - Pinehurst, NC
Find Pinehurst Homes

Sounds like a bad situation for all. Imagine living with someone you can't tolerate!

May 06, 2011 01:18 AM
Gwen Fowler SC Lakes & Mountains 864-710-4518
Gwen Fowler Real Estate, Inc - Walhalla, SC
Gwen Fowler Real Estate, Inc.

Is there a correlation?  Do marriages fail when house values drop?  I need to do some research on this one.

May 06, 2011 01:18 AM
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Eighteen Years Experience in Brevard County

Which is worse, short sale and bad credit or wife who wants you out? Choose short sale!

May 06, 2011 01:19 AM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Just like you said, I've known couples who had resigned themselves to living in one house as roommates because they could not afford separate residences.  Sometimes it is not an amicable situation and really needs to be dealt with asap. Your suggestion becomes the best option at this point.

May 06, 2011 01:21 AM
Angelina Clarke
Builder Services Realty, LLC - Tampa Palms, FL

OR...you could get a judge with a past grudge who awards the house to one, and 1/2 of the negative equity to the other in the form of a judgement...YES it happens

May 06, 2011 01:24 AM
Gina Tufano
Ask Gina & Company with Pearson Smith Realty - Sterling, VA
Ask Gina & Company, Northern Virginia Real Estate

Interesting and relevant to our times!

May 06, 2011 01:25 AM
Debbie Laity
Cedaredge Land Company - Cedaredge, CO
Your Real Estate Resource for Delta County, CO

I guess staying together for the sake of the mortgage is just another result of today's economy.

Although we are seeing the banks come back with a judgement more often than not.

May 06, 2011 01:26 AM
Carol Zingone
Berkshire Hathaway Home Services Florida Network Realty - Jacksonville Beach, FL
Global Realtor in Jax Beach, FL - ABR, CRS, CIPS

It's sad to say, I know of many people who are in similar situations, and they have "their" sides of the house rather than interact with the other party.  I agree, short sale, and move on with your life.

May 06, 2011 01:48 AM