When couples are separating or divorcing what happens to your house in the UK or abroad can be very stressful. Countrywide Family Mediation enables you to control the process and own the decision making. Call us today!
Divorce Agreement and mediation for houses
Do you have a family or holiday home and need to work out the asset split?
It can be a stressful affair if you are going through a divorce, but it’s an even more tormenting when it comes to the uncertainty of what will happen to your home after a divorce. This guide will explore the different circumstances around home ownership after a divorce.
Getting a financial agreement
Divorced couples can opt to work out the money and property issue, and this avoids going to court if they come to an agreement on how to split the property. If you can’t agree on everything, then it will be up to the courts to decide on the issues you didn’t reach an agreement after mediation.
However, you need to show that you have been attending meetings to see whether mediation is the best option before applying to a court. If you are looking to avoid the hefty charges from solicitors, you can find helpful mediation information from separation websites that have information on housing and money, but this is just the first step towards mediation. Call for advice today.
Seeking help when coming up with an agreement
A mediator plays a huge role in ensuring that divorced couples agree on the best ways to split property and money. However, important to note that mediation isn’t relationship counselling but a way to help you divide assets which include investments, savings, property, and money.
Also, the agreement reached upon after mediation isn’t legally binding, and you will need a solicitor to help you draft a consent order for court approval.
There are some situations where mediation isn’t a preferred option, and this can be an instance where the couples are involved in domestic abuse even after a divorce, and the only alternative is to go to court.
Tax when transferring assets
In situations where you dispose off assets to your partner, you wouldn’t have to incur capital gain tax. The tax will only apply to assets that have been transferred to your ex-partner at the end of the relationship.
Assets can include property, personal possession or shares and you need to get professional tax help or get in touch with contact HM Revenue and Customs for further assistance. However, you will still need to tell them if there is any court order or any other contract that show the transfer of assets.
How the courts split assets
A judge can decide to divide the property based on the number of years you have been married. Property can also be divided based on the standard of living, the ability to learn, living expenses and the couple’s role in the civil partnership or marriage which takes into account the primary carer or a breadwinner. Do you need a MIAM?
The judge will only make the decision to split the assets if there is enough property that meets everyone’s needs. The priority will go to the children especially the child maintenance and housing arrangement. Additionally, the judge will try as much as possible to provide a clean slate so that the divorced couples will no longer have any financial ties to each other. See our prices for mediation