Property division is often one of the most contentious topics during a divorce. Splitting up the entirety of shared marital assets and debts can lead to arguments and disputes, particularly when the property is something of high monetary or sentimental value like a vacation home. Vacation homes can hold special memories for both individuals in a marriage, but they still must be divided during a divorce. If you are separating from your spouse, ensuring your rights are protected is crucial. Work with an experienced Suffolk County property distribution lawyer for more information and legal representation today.
Are Vacation Homes Considered Joint Property?
In a divorce, the first step to distributing property between the couple is determining ownership of all relevant assets. In most cases, vacation homes are considered marital property and are therefore subject to property division. This is true when the home was purchased during the marriage or with marital funds.
In some instances, the home could be considered separate property and owned by only one spouse, such as if they owned it before the marriage or inherited the property. However, even if this is true, the home could be considered jointly owned for the purpose of the divorce proceedings. If the home was upgraded or maintained using marital funds or the other spouse contributed to the property in any way it could be considered a marital asset.
How Do Vacation Homes Get Divided in a Divorce?
Once ownership of the vacation property has been established, there are several options to divide the asset. New York is an equitable distribution state so assets must be split fairly between the parties, not necessarily equally. There are several ways to divide a vacation home in an equitable manner.
- Buyout: One spouse could buy out the other’s share of the vacation home. This allows one spouse to maintain ownership of the property so they do not have to sell.
- Sell the property: If neither spouse wants to keep the vacation home or a buyout is not financially possible, the property can be sold and the proceeds can be divided between the spouses. This is one of the most common solutions.
- Co-ownership: Spouses may also choose to continue co-owning the vacation property even after the divorce. If the home is very valuable, the couple shares children, or they cannot come to an agreement on what to do just yet, they can do nothing and continue sharing the property. This can pose challenges for couples who have a volatile relationship but may be a valid solution for others.
- Time-share: The couple could also establish a time-sharing agreement where each spouse will get a designated time to use the vacation home.
There are many flexible ways to divide the value of a vacation home during a divorce and couples should make the decision that works best for their relationship and their family. For more information on your rights and options during property division, reach out to a skillful attorney today.
