I’m Getting Divorced – How Do I Sell My House?
First, let me start out by advising, this resource page is for informational purposes and does not replace the legal advice of a legal professional. During a divorce, one of the top priorities is protecting your finances. Many Californians believe that protecting your interests is the most important part of their goal when selling their home. You may have speculated what the process is for selling your home during a divorce in California.
Generally, unless there are exceptional circumstances, each spouse is entitled to a 50% share of the house in California. In some divorce cases, one spouse will keep the house and will buy out the other spouse’s half. During a divorce, the couple may decide that selling the home as quickly as possible is the best course of action. This article discusses selling a house using realtor and or a cash buyer. If you can come to an agreement amicably, that is always best, but there are instances when the courts have to step in with this process.
The Stipulation and Order to Sell the House During a Divorce
Figure Out the Value of the House
Sell My House Using a Realtor, Option 1
Sell My House Without A Realtor, Option 2
The Stipulation And Order To
Sell The House During The Divorce
Stipulation means agreement. Therefore, a stipulation and order are an agreement that becomes a court order. The easiest way to sell the house/property during a divorce is through a written and signed agreement between the spouses that becomes a court order. A stipulation includes the following items.
Selection of the Real Estate Professional
How to set the price of the home
How to reduce the price, if necessary
Who will be in communication with the real estate professional, etc.
Make sure to provide the divorce decree to avoid misunderstandings
Set A Timeline
Keep a timeline when selling your house during a divorce. Most importantly, stick to that timeline. When you decide to sell your home with a realtor on the open market, we recommend listing your house in advance to set expectations.
Establish a firm closing date, discuss your moving dates (and times), and decide which spouse will deal with the realtor.
When considering the option of a Real Estate professional and setting a timeline, remember that from start to finish, it could take 3-6 months, depending on your current market and the current condition of the house being sold.
Figuring Out The Value/Costs
The value of your house can be evaluated in several ways. The real value of a house is especially important if one spouse is buying out the other spouse’s interest or if negotiations mean that one spouse is willing to give up a greater share of the house’s value in exchange for some other consideration. An agent can do what is called a “Comparative Market Analysis” to obtain the market value of the house, or you may choose to hire a professional appraiser.
Costs for an appraisal range from $500-$700 and usually take 7-10 days. Other Costs to consider when selling include:
Paying an agent commission – usually 5-7% of the final sales price
Seller’s closing costs – usually 1-2% of the sales price
Requested repairs by the buyer
Holding Costs, ie mortgage, insurance, utilities, HOAs, taxes, attorney fees
Cleaning and moving fees
List to closing could take 30-90+ days, escrows can and do fall thru
There are many costs involved when selling a house. Often, commissions paid to real estate agents are the largest cost involved in selling a home. And you pay your real estate agent’s commission as well as the buyer agent’s. The traditional commission rate is a 6% split between the buyer’s and seller’s agent. You should hire a cleaner before you open your house for showings. The buyer may request you to repair the home. In addition, you must pay transfer property taxes, title insurance fees, HOA fees, title fees, and attorney fees.
Sell Your House Using A Realtor
Many of the fees mentioned above are associated with using a Realtor when selling your house, but there are some benefits. It is difficult enough to sell your house on its own. But a divorce adds a lot to consider, and sometimes you need a neutral third party to help navigate through this rough time.
You and your spouse may have disagreements about things like the selling price. When you hire a real estate agent (Realtor), you have a third party who can guide you in making decisions, weighing out your options, and helping you reach an agreement on issues such as the selling price. Choosing a real estate agent could involve some research and some headaches or hassle. Things to consider when weighing your options:
Costs Involved, Commission and Seller’s Costs
Timeline – Start to Finish could be 60 – 90 Days, if Escrow Doesn’t Cancel
Open Houses on the Weekends
Home Inspection and Buyer’s Request for Repairs
Appraisal – Buyer’s Offer Must Appraise for the Buyer to get a Loan
Loan Contingency – Buyer goes Through the Loan Process to Make Sure They Qualify
While there are several costs that come with using an agent, they can get your house out there to a wide range of buyers and agents. They also help take the emotion out of the sale, weed out unqualified buyers, negotiate a price and will provide the required disclosures to help minimize legal risks.
Sell Your House Without A Realtor
Your second option would be to sell your house yourself to a cash buyer. During a divorce, you can sell your property/house to a cash buyer if you and your spouse are able to agree on a few things. A cash buyer is your best option if you want to sell your house fast and avoid the hassles that come with selling your house the traditional way with an agent. Here are a few things to think about when considering selling your house fast with a cash buyer.
No Seller’s Costs – Most Will Pay Your Closing Costs
No Hidden Fees or Costs (ibuyers Charge in Lieu of Commission)
No Repairs Required – You Can Sell AS-IS
No Cleaning Required – Most Will Let You Pack What You Want and Leave The Rest
No Open Houses – 1 Showing and That Will be to the Cash Buyer
No Inspection, Appraisal or Loan Contingency
You Pick Your Close Date – Usually 7+ Days, You Get to Decide
Most cash buyers will provide a fair cash offer Free of charge. Your options would be to accept or decline. It is really that simple and you can save yourself the stress that comes with selling your house the traditional way with an agent.
“We Buy Houses for Cash” is designed to be a solution for someone who needs or wants a speedy sale or maybe wants to sell without doing repairs and doesn’t want to deal with the inconvenience of selling with an agent.
If you are considering selling your home in the Coachella Valley or the Inland Empire, webuyanyhouseincalifornia.com is here to help you. Our goal is to offer you the highest and best offer while providing any additional help you may need. We buy houses in any condition, any reason and any situation. If we don’t have a solution for you, we will get you pointed in the right direction. Please visit our How It Works page for specific information on how we formulate offers and our About Us page to get to know us better.