Should My Spouse and I Hold Joint Property After Our Illinois Divorce?

 Posted on April 14, 2020 in Division of Property

By far, one of the things that couples state is the most stressful during a divorce is the financial aspect of the proceedings. When you get a divorce, you and your spouse must come to an agreement as to how nearly everything the two of you own will be divided. This includes both tangible items, such as vehicles and your marital home, in addition to intangible assets and debts, such as bank accounts and credit cards. The courts encourage you to come to an agreement about the division of your property among the two of you, but that is not always possible. If the court must intervene, a variety of factors will be used to determine an equitable distribution of assets.

Dividing Marital Property

If you are like most married couples, you and your spouse probably jointly own most everything. This makes things easier during a marriage, but during a divorce, it can complicate matters. If you and your spouse both have your name legally attached to items such as vehicles, homes, other real estate property, or credit card debt, it may be confusing when it comes to dividing the property. Because many of these items cannot just be split in half, some creative methods are often used to accomplish the division in a fair manner.

Keeping Property in Both Names Is Not a Good Idea

Sometimes, the only things holding up the finalization of your divorce are just one or two issues that you either cannot solve right away or that you are unsure of how to handle. In many cases, these are issues involving property division. It can be tempting to include a clause in your divorce agreement that states that you and your spouse will continue to jointly own certain assets and that you will address those matters within a specified amount of time. However, this can ultimately be more trouble than it is worth, especially if the divorce is contested.

If you keep property jointly owned in both your and your spouse's name after the divorce is finalized, you may get burned. For example, if your divorce agreement states that you and your spouse will continue to jointly own your family home for a maximum of five years after the divorce, you and your spouse are still both legally responsible for the mortgage. If your spouse insists on keeping the home, but he or she does not have the ability to refinance it yet, this could impact your own finances, even if you are no longer living in the home. If your ex-spouse fails to make any payments while your name is still on the mortgage, your credit report will be negatively impacted, and this could potentially result in you being unable to purchase a home on your own. If your spouse is keeping the home, he or she must be able to refinance the home in his or her name only, and this should be completed before the divorce is finalized. If this is not possible, you should consider selling the home and splitting the profits.

Contact a Kane County Divorce Attorney

The property division process can be much more emotional than you might expect. For instance, your marital home may have great sentimental value to both you and your spouse. Determining how finances and other assets should be divided can be challenging, since the decision you make can have a significant impact on your life and your future. At the Law Office of Matthew M. Williams, P.C., we can help you negotiate a property division agreement that works for both of you while ensuring that your rights and financial interests will be protected. Call our skilled Aurora property division lawyer today at 630-409-8184 to schedule a consultation.

Sources:

http://www.ilga.gov/legislation/ilcs/ilcs5.asp?ActID=2086&ChapterID=59

https://www.isba.org/sections/realestate/newsletter/2017/11/doingdeedsomeproperty