New Jersey divorces often involve the equitable distribution of owned real estate. Whether you are planning on continuing to jointly own the property, transfer the deed to a single owner, or sell the property outright, an accurate and timely appraisal can be a vital step in the process. There are many ways to approach the division of marital assets for divorcing couples, each carrying advantages and disadvantages based on the unique circumstances surrounding the divorce. Today, our division of real estate during divorce attorneys will discuss why a real estate appraisal is recommended during your divorce, how appraisals are executed, and how appraisals can ultimately impact your divorce settlement agreement.
The Importance of Real Estate Appraisal During Bergen County, NJ Divorce
All marital assets must be divided during divorce pursuant to New Jersey equitable distribution statutes. This means that spouses are entitled to a fair, or equitable share of jointly held assets. As part of this process, each asset must be accurately valuated to determine a reasonable division. Your Bergen County real estate appraisal attorney might recommend a real estate appraisal in the following situations:
A spouse is going to “buy out” the property. Commonly, a divorcing couple will choose to transfer the property to a single owner as part of a buy out. The details of a buyout can vary dramatically, with cash buyouts, the real estate being used as collateral against other properties, or as part of a longer plan. In any case, it is vital that the property is appraised so that a fair buyout agreement can be reached.
The real estate is going to be sold off. If your real estate division involves selling the owned property, the appraisal will likely be part of the sales process. In this case, the value used in equitable distribution negotiations really depends on whether the property is sold before, during, or after divorce proceedings have concluded.
The property will remain jointly owned. In this case, you may be able to get away with no appraisal. However, some couples prefer to seek an appraisal just to understand where they stand financially.
Ridgewood Equitable Distribution Lawyers Discuss Real Estate Appraisals
Your Ridgewood equitable distribution lawyer may assist with the real estate appraisal process in a number of different ways. As discussed above, situations where the property is being sold will likely come with an appraisal (or multiple appraisals) by your real estate representative. There are a few other options available to divorcing spouses, including:
Order a formal real estate appraisal – it is possible to simply pay a real estate or other organization to appraise your property. This option commonly costs between $300 and $600, but may ultimately be worth the knowledge gained.
Use comparable properties as a baseline – another common method is examining similar properties which have recently sold in your area. This method is fast and free, but fails to take all of the details and factors of your real estate value into account.
It is also important to understand that the sales price or the appraised value of your owned property does not include costs such as broker’s fees, maintenance costs, refinancing considerations, and much more. To understand what is fair and equitable for your unique situation, it is recommended to consult with a qualified Ridgewood property appraisal during divorce attorney.
Contact our Hackensack Real Estate Appraisal Divorce Attorneys Today
The real estate appraisal attorneys of Townsend, Tomaio & Newmark have extensive experience helping clients divide owned real estate in Bergen County, Ridgewood, Hackensack, Paramus, Fort Lee, Teaneck, and across all of Northern New Jersey. Our legal team believes in taking the time to understand your individual needs and concerns before recommending legal actions. If you are looking for a law firm capable of delivering top quality legal solutions while keeping you informed and involved during the divorce process, look no further. To learn more about equitable distribution in New Jersey and how real estate appraisals can play a vital role, please contact us online or through our Hackensack, NJ office by calling (201) 397-1750 today for a free and confidential consultation.