When a couple owns a vacation home it can be a contentious issue in a Tennessee divorce. Vacation properties are often valuable, and a spouse may feel that they are a prize they want to win in the divorce.
Although Tennessee is an equitable distribution state that doesn’t mean that assets will be split 50-50. Instead, the courts will try to create a fair solution for both spouses. In terms of a vacation home there are typically three options:
- Sell the vacation home. Choosing to sell the vacation home can be a major decision. Selling the vacation home and splitting the proceeds can give each spouse a strong financial start after the divorce is finalized.
- Buy out the other spouse. If a spouse has the means they can choose to buy out the other spouse’s share of the vacation home. They can pay for their share outright or by sacrificing other valuable assets to create a fair division. This option will often require the new owner to refinance the mortgage.
- Remain co-owners. Some couples may choose to co-own the vacation home. This can work well for spouses who are still amicable with each other and allows each spouse the opportunity to still use the vacation home.
Property division is often a contentious issue in a Tennessee divorce. A legal professional who is skilled in divorce can help their client understand what their options are in a divorce and can help represent their interests in the process. They can make sure their client’s future is protected and that they receive their equitable share when the divorce is completed.