Dividing Real Estate in Divorce: Selling vs. Buying Out a Spouse
March 27 . 1 min read
For many couples in California, the family home is one of the most valuable assets in a divorce. Deciding what to do with it—selling the property or buying out a spouse’s share—is often a significant financial and emotional decision.
Here, our Santa Clara County family law attorneys at Feak & Revelo, LLP explain why understanding the options and their implications can help you make the best choice for your future.
One of the most common ways to divide real estate in a divorce is to sell the home and split the proceeds. This option is often the best solution when neither spouse can afford to keep the house alone or when a clean financial break is preferred.
Pros of Selling:
Eliminates joint financial ties to the property.
Provides both spouses with liquid assets to move forward.
May maximize the home’s value, especially in a strong real estate market.
Challenges of Selling:
The sale timing may not always align with the market conditions.
Emotional ties to the home can make selling difficult.
Both spouses must agree on the listing price and terms of the sale.
Understanding the pros and cons of selling or buying out a spouse’s share in a California divorce ensures you make a financially sound decision that aligns with your long-term stability and goals.
Buying Out a Spouse’s Share of the Home in a California Divorce
One spouse may buy out the other’s interest if they want to keep the home. This means compensating the departing spouse for their share of the home’s equity, which can be done through cash payment, refinancing the mortgage, or offsetting other marital assets in the settlement.
Pros of Buying Out:
Allows one spouse to keep the home and maintain stability.
Avoids the stress of selling in an uncertain market.
Prevents disruptions for children who may benefit from staying in the home.
Challenges of Buying Out:
The spouse keeping the home must qualify for refinancing and afford the mortgage alone.
Determining the home’s fair market value can be complicated.
A buyout may require giving up other valuable marital assets in exchange.
California is a community property state, meaning that assets acquired during the marriage—including real estate—are generally split equally unless otherwise agreed. If spouses cannot decide independently, the court may order the home’s sale or facilitate a buyout to ensure a fair division.
Which Option Is Right for You?
The right decision depends on financial factors, emotional considerations, and long-term goals. It may be the cleanest break if selling provides the best economic outcome. However, a buyout could offer stability if one spouse can afford to keep the home. Consulting with an experienced San Jose family law attorney can help you evaluate your options and protect your interests.
Feak & Revelo, LLP Can Help
At Feak & Revelo, LLP, we understand that dividing real estate in divorce is a significant decision. Our experienced family law attorneys help clients navigate the complexities of selling, buying out, and ensuring a fair property settlement. Call (408) 501-8883 or contact our Santa Clara Valley family law attorneys online today to discuss your case and explore the best path forward.
Alexis helped me get through the worst time in my life and I was very grateful to have her as my attorney. She has a very approachable personality which made me feel relaxed and comfortable. Not only is she very bright, but she also genuinely cared about my case. She was always very responsive and engaged. I highly recommend her and I could not have asked for a better attorney.
Michael
I just want to say how much I appreciate Alexis and all she has done for me over the year. It felt like it was never going to end, but I'm so happy this is now finally closed out and I can move on with my life. I can't imagine having survived it without you!
Thomas
Samantha Feak was my attorney and she worked her butt off for me! I am proud to say that as of today I am finally divorced, and I couldn't have done it without her. She fought for me when I felt like I didn't have the strength to fight for myself any more, and she got it done. She made sure my divorce included a much needed restraining order to keep me safe from the physical and emotional abuse, and harassment from my ex husband. I cried tears of happiness when I got the call this morning it was finally
Natalie
I am thankful for Samantha, she is so calm yet impactful whereas I felt totally overwhelmed. I admire her abilities, and I’m very thankful for guidance in court.
Renee
Alexis was an amazing attorney in my divorce case. I had a highly litigated and contested case. She has been in my corner since the beginning, and assisted me every step of the way. I could not imagine what my situation would be like if Alexis was not leading the ship!
Ally
Samantha is the best thing to happen to my daughter and I. She helped me understand the crazy tactics of my ex and helped the court understand why I needed custody of my daughter. I am so lucky to have her as my lawyer.
Emil
Attorney Revelo is professional, thorough, and smart. She understands all the nuances of the law regarding Divorce and Separation and I am grateful she took my case. She is efficient and caring all at once. I was able to get my divorce finalized in a little over six months. She made a court date and personally oversaw the final judgement. She is trustworthy, fair, and ultra-competent. I would recommend her to anyone seeking a divorce or separation. Attorney Revelo embodies excellence in her field of law.
Rosella
From the very beginning of reaching out for a consultation I have felt so at ease, the response back from everyone is so fast and relieving. Alexis Revelo has been by my side every step of my case, I cannot say enough positive things about Alexis!! Her knowledge and compassion has made this stressful time for me a lot more manageable.
Melissa
Samantha was great to work with on my case. Her attention to detail and legal advice every step in the process helped considerably in the final six months of my case.
Brett
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