When you and your spouse close on a vacation home in historic Cape May or beautiful Beach Haven, the last thing you expect is that this property will be a source of contention when you and your spouse divorce. If you’re going through a divorce and share a vacation home with your spouse, understanding how this property will be handled is critical. Keep reading to learn how New Jersey divides property and why working with Somerset County property distribution attorneys is in your best interest when considering what will happen to vacation homes when divorcing.
How Does New Jersey Divide Property During a Divorce?
When you and your spouse file for divorce, understanding what will happen to your property and assets is critical. As such, it’s important to understand that New Jersey follows the equitable distribution method for dividing marital assets. This means that the state doesn’t automatically award an even 50/50 split. Instead, the courts will examine several circumstances to divide the assets in a fair way based on each spouse’s contributions to the marriage. This means one spouse could receive a larger share of assets than the other.
It’s also important to consider what marital property is for the matters of dividing it. Typically, any assets you obtain during the course of your marriage are considered joint property, meaning they are up for distribution when you divorce regardless of who the primary owner of the assets is. This includes property, income, and even contributions to life insurance policies.
Some assets will be considered separate, meaning they will not be divided. This includes assets you owned prior to the marriage and inheritances given solely to one party during the marriage. So long as these assets are not commingled with other marital assets, they will remain the property of one spouse.
How Are Vacation Homes Divided?
As a home cannot be split in half and given to each spouse, understanding the options for dividing this property is critical. Typically, you and your spouse can work together to determine the best possible outcome for your needs. One option is to continue owning the property together. You can convert it into a rental property in which you both receive equal shares or continue to use it personally, dividing your time at the home. This may not work if you and your spouse are not on amicable terms, however.
Another option is to sell the home and divide the earnings based on the split determined by the courts. Finally, you may choose to buy out the other spouse’s share of the home so you can retain full ownership of it.
Property division is typically one of the most contentious points of a divorce. As such, ensuring you have someone on your side to help protect you during these difficult times is critical. At the Siragusa Law Firm, we understand how frustrating these issues can be, which is why we will do everything in our power to help you navigate these complicated matters. Contact us today to learn more about how we can assist you in the fight for a fair outcome.
