Can I Keep My House After A Divorce? Part 2

November 16, 2023September 5, 2023 by Paul Shafranski

In Part 1 we discussed whether your house is considered marital property, various factors that influence the decision to try to keep the house after a divorce, and some of the more common options for doing so. Now in Part 2, we will continue the conversation, in which we explore the legal process for valuing your house and some alternatives to keeping the house.

What Is My House Worth?

This is a key question if you are not going to be selling the house as a part of the divorce. If you agree to sell the house and split the proceeds evenly, then the value of the house will simply be whatever amount for which the house is sold. The market decides the value at the time of purchase and if you are splitting the proceeds evenly, it does not complicate equitable distribution. In other words, if the home sells for more than expected, you and your spouse will receive the benefit of that equally and if it sells for less, you and your spouse will both bear the burden equally.

While that is the simplest route, from an equitable distribution perspective, it is very common for individuals to instead want to stay in the marital home after divorce. That’s where it becomes important, and complicated, to ascertain the value of the home. You have a few options, in increasing cost and complexity:

Agree to Value:

The simplest manner to determine the home’s value for equitable distribution purposes is to agree to a value. This can be based on each of you doing your own research, online listing values (such as a Zillow estimate), or simply a strong belief you both hold as to the home’s monetary value. After all, you know your home better than anyone else. If you agree to a value, you can use that to determine what amount you will need to provide to your spouse, either in cash or in offsets from other marital assets, in order to buy out their share of the home so you can keep it. The Pros of this method are the simplicity and cost-effectiveness of agreeing to a price. The Cons of this method are the inaccuracy of the price as well as the difficulty some couples have in coming to any agreement during a divorce.

Comparative Market Analysis (CMA):

A CMA is somewhere between simply agreeing to a value and a full-blown appraisal. A CMA is performed by a real estate agent and involves comparing similar homes in the area that have recently been sold. Multiple factors go into a CMA, including but not limited to, location, lot size, and square footage, etc. A CMA is a great option if you and your spouse are not too far off in your personal estimates of the home’s worth—it will help determine what number to use. However, the bigger the difference in estimated values you and your spouse have, the less value a CMA will provide. If the CMA comes in at or near Spouse 1’s estimated value, then Spouse 2 is likely to reject it. If the CMA comes in at or near Spouse 2’s estimates value, then Spouse 1 is likely to reject it. If the CMA lands somewhere in the middle of both spouse’s estimates, they both may reject it. Ultimately, unless you both agree to be bound by the CMA, neither of you are required to agree to the price the CMA determines. The Pros of a CMA are cost (they are usually free) and speed (they are usually performed in a matter of days). The Cons of a CMA are that it is less accurate than an appraisal and require the parties to agree to a real estate agent to perform the CMA, which can be difficult in a high-conflict scenario.

Appraisal:

An appraisal is a more formal process than a CMA and requires a licensed appraiser to perform an appraisal. While a lot of the market comparison process is similar to a CMA, an appraiser will typically enter your home and physically inspect the condition of the house, noting any defects, outdated aspects, or flaws with the home. As such, an appraisal is more thorough than a CMA. An appraisal results in an appraisal report in which the detailed findings of the home are noted, with photographic evidence. Appraisals also take much longer to perform, typically 30-60 days, to obtain the appraisal report. They also carry a hefty price tag. And similarly to a CMA, either one of you may end up rejecting the appraisal report’s value of the home if it does not come close to what you already believe it to be. Neither of you are bound by an appraisal’s value unless you both agree to be. Often when a matter ends up in court, you end up with “dueling appraisals” with different values. The Pros of an appraisal is the accuracy and thoroughness it provides while the Cons are the price and length of time it can take to obtain.

Alternatives to Keeping the House

The primary alternatives to keeping the house are selling it or letting your spouse buy you out of your share of the equity in the home. It is often the case that the home is burdened with extensive family memories, which can make it difficult to let go of. However, divorces are typically difficult on your finances and maintaining a home with one income instead of two can be too difficult to realistically handle. Combined with all of the other financial and lifestyle changes that come with a divorce, sometimes it is better to say goodbye to the house and give yourself a clean break. It is very common for there to be a “resting” or “recovery” period after a divorce in which the parties live in simpler housing for a time while they adjust to the new normal and determine what they can afford and just as importantly what they actually want at this point in their lives.

Some people move in which family for a while after a divorce, which can help stabilize their finances and provide a steady place for them and their children. Still others move into smaller rental options, like a smaller home or an apartment, to get by during the adjustment period. It can be helpful to start out “smaller” with your options and then adjust upward if and when you think the time is right. Otherwise, it can be very difficult, if not impossible, to maintain the same life you had before a divorce without building back up to it. It can also be liberating to let go of an asset that is full of so many memories that are no longer a source of comfort; we have seen clients embrace a feeling of freedom when they let go of the struggle to keep the house and figure out how to maintain it. It is certainly not an easy decision to make, but it may be the best one for you and your family overall.

We welcome the opportunity to discuss your housing options with you. Please click here to schedule a consultation at your convenience.

The Importance of Communication in Family Law Cases: Strengthening Your Relationships Amidst Legal Challenges

August 8, 2023 by Paul Shafranski

Divorce and family law cases can be emotionally challenging, putting tremendous strain on relationships with loved ones. As a collaborative family law firm dedicated to supporting families in Central Florida, we understand the significance of effective communication during these trying times. In this blog post, we delve into the importance of communication in family law cases and offer practical strategies to maintain healthier relationships with your family while navigating the legal process.

The Power of Open Communication

When facing family law matters, open and honest communication is the cornerstone of resolving conflicts amicably. Transparent communication can foster understanding, empathy, and cooperation, which are vital elements for reaching mutually beneficial agreements. We encourage our clients to express their thoughts and emotions openly, as bottling up feelings can lead to unnecessary tension and misunderstandings.

Emotions and Family Law

Family law cases often evoke intense emotions, ranging from sadness and anger to fear and confusion. These feelings can cloud judgment and escalate conflicts, making it challenging to find common ground. By acknowledging these emotions and communicating them to your family and legal team, you open the door to greater empathy and support.

We are here to provide a compassionate ear and guide you through the legal process, ensuring your voice is heard and your feelings are respected. Our goal is to help you approach family law matters with a clear and focused mind, enabling you to make well-informed decisions for your future.

Putting Children’s Best Interests First

For couples with children, prioritizing their well-being is paramount. A child’s emotional and psychological development can be significantly impacted by the divorce process. Maintaining open lines of communication with your co-parent can help create a stable and nurturing environment for your children.

We encourage parents to engage in frequent and constructive dialogue about their children’s needs and preferences. By demonstrating unity and cooperation, you can assure your children that they are loved and supported, even during difficult times.

Tips for Effective Communication

1. Active Listening: One of the most valuable communication skills is active listening. Give your full attention when your family members or legal team are speaking, and avoid interrupting. This fosters mutual respect and understanding.

2. Choose the Right Time and Place: When discussing sensitive matters with your family or co-parent, choose a calm and private setting where you can communicate without distractions.

3. Use “I” Statements: When expressing your feelings or concerns, use “I” statements to avoid sounding accusatory. For example, “I feel hurt when…” instead of “You always…”

4. Stay Focused on the Present and Future: While it’s natural to discuss past grievances during emotional conversations, try to stay focused on the present and future. This approach promotes problem-solving rather than dwelling on past mistakes.

5. Seek Professional Support: If communication becomes too challenging, consider seeking support from a therapist or counselor who specializes in family dynamics. A neutral third party can facilitate conversations and help navigate difficult emotions.

6. Embrace Technology: Utilize technology to stay connected with your family and co-parent, especially if distance is a factor. Video calls or messaging platforms can bridge the gap and facilitate regular communication.

Conclusion

At Artemis Family Law Group, we understand that effective communication is the key to preserving the strength and harmony of your family during challenging legal processes. By fostering open dialogue and empathy, you can navigate family law cases with a more positive and cooperative approach.

Our warm and professional team is dedicated to supporting you through every step of your journey, providing the guidance you need to make informed decisions that serve your family’s best interests. Remember, you are not alone – we are here to help you find resolutions that honor your values and create a brighter future for you and your loved ones.

Reach out to Artemis Family Law Group today to learn more about our collaborative approach to family law and how we can assist you in this important chapter of your life. Together, let’s strengthen your relationships and build a foundation for a thriving future.

Why Collaborative Divorce Is Better for Families Than Traditional Divorce

July 31, 2023 by Paul Shafranski

The team moves at your pace.

Whether you’re motivated to move quickly through the process, or you are seeking a slower, deliberate process, the team is able to accommodate your needs. In a traditional divorce, the timeframe is set by one-size-fits-all statutory deadlines that may not be appropriate for your family.

Your goals and priorities are central to the process.

At the start of a collaborative divorce, each client is asked to compile a list of their goals for the process and after. Some examples include developing co-parenting skills together, maintaining financial security, or ensuring that you receive a fair split of the marital assets. Your goals help the professional team that is supporting you in the process understand what is important to you when exploring various options and scenarios. In a traditional divorce, your marriage is treated more like a business dissolution than a unique set of emotionally-charged circumstances and history.

Your family’s privacy is safeguarded.

Because the conversations and negotiations in a collaborative divorce occur in a private, non-litigation setting, people feel free to have some of the awkward conversations that are necessary to resolving underlying issues in a divorce. Further, collaborative divorces typically occur with minimal filing of court documents, which helps to protect your family’s privacy. In a traditional divorce, extensive personal and financial documents are often filed with the court and are accessible to the public.

Your children are not weaponized.

In a collaborative divorce, parents work with a collaboratively-trained licensed mental health neutral who facilitates co-parenting conversations and helps parents develop a parenting plan and timesharing schedule that is best for the children. Unfortunately, in a traditional divorce, children often end up being treated like objects to fight over and “win.”

Your family’s finances are protected.

Each family in a collaborative divorce is guided by a collaboratively-trained and licensed financial neutral, who gathers all of the necessary financial information to create an overall picture of the family’s finances. This allows the team to explore financial options more efficiently than in the traditional divorce, where each side’s attorney, who rarely has any financial education, spends countless hours poring over financial documents and fighting with the other side to make sure everything is disclosed, and nothing is hidden.

You have the final say in what your future will look like.

At the conclusion of a collaborative divorce, you will decide what your future looks like. In a traditional divorce, your entire family’s history will be condensed into a brief hearing, where a judge who is a stranger to your family will hear minimal evidence and testimony and then decide your future for you. Instead of handing over your family’s future to a stranger, collaborative divorce allows you to stay in control of your family and your future.

Am I responsible for my spouse’s medical bills?

September 6, 2024October 17, 2019 by Paul Shafranski

Unfortunately, during a marriage, one or both of the spouses may incur significant medical debt. A main concern is whether one spouse will ultimately have to pay the medical bills of the other. The answer to this complicated question is nowhere near straight-forward.

Many people are under the impression that they will not have to pay for their spouse’s medical bills by simply refusing to sign any documents that would make them a responsible party to the medical bills; however, this is not a complete shield in every case. In essence, you may not have to directly pay for your spouse’s medical bills, but you can still be affected by them.

For instance, if the medical bill was paid with a credit card that is joint or that you co-signed for, the credit card company would not care that you did not sign off as being a responsible party. The credit card company will most likely hold you and the spouse incurring the medical bills jointly liable for the debt.

If your spouse should die, pursuant to the laws of Florida involving estates, you as a surviving spouse would not be held responsible for the medical debt incurred by your deceased spouse; this medical debt would be paid from the deceased spouse’s estate. However, this means that if your estates are combined, the medical debt is still, in reality, being paid in some manner by you.

If you and your spouse decide to divorce, the medical debt may be in the other spouse’s name, but because it was accrued during the marriage, it would be considered marital debt. Thus, this medical debt would be included in the distribution of all the assets and debts accrued during the marriage Further, although this medical debt may be in one spouse’s name and on that spouse’s side of the marriage’s asset and debt “balance sheet,” it would affect the overall division of the assets and debts (i.e., there would have to be a balance of assets and debts to each person so that the two parties are essentially walking away from the marriage in fairly equal positions).

One spouse in a marriage may believe that they will not have to be responsible for medical debts incurred by the other spouse. By refusing to be made a responsible party to the other spouse’s medical debts, at first glance, this may hold true. Further, in certain circumstances, a spouse may not be held directly responsible for the other spouse’s medical bills. However, based on the discussion above, in actuality, your spouse’s medical bills will ultimately affect you in some manner.

Does Florida have a presumption in favor of 50/50 time-sharing?*

November 16, 2023September 26, 2019 by Teris Deitsch

*THIS ARTICLE WAS UPDATED PURSUANT TO THE REVISED FLORIDA STATUTE, 61.13, WHICH BECAME EFFECTIVE AS OF JULY 1, 2023

Does Florida have a presumption in favor of 50/50 time-sharing? The new, short answer is YES.

On July 1, 2023, the Florida law regarding time-sharing (formerly known as custody) was revised significantly. After previous unsuccessful legislative attempts to do so, the law regarding parents’ contact with their children now provides that parents should have equal time-sharing with their children. Specifically, Florida Statutes section 61.13 states the following: “Unless otherwise provided in this section or agreed to by the parties, there is a rebuttable presumption that equal time-sharing of a minor child is in the best interest of the minor child.”

What does all that actually mean for parents? Simply put, the belief is that the children should be spending an equal amount of time with both parents despite the fact that their parents are going through a divorce or otherwise separating. In order to overcome this presumption of equal time-sharing, one parent must prove by a “preponderance of the evidence” that equal time-sharing is not in the best interests of the child or children at issue. Thus, the parent objecting would have to show it is “more likely true than not” that an equal time-sharing schedule would not be in their child’s best interests.

The best interests of the children continues to be the primary consideration when it comes to time-sharing. If parents cannot agree to a time-sharing schedule, the court still must consider the 20 factors listed in the statute when determining time-sharing. Further, the court has the final say on issues having to do with children. Parents should be aware that because of this, even if the parents agree to a time-sharing schedule, there is a possibility a court may review their agreement, decide that it is not in the best interest of the children, and establish a different time-sharing schedule.

Another point of note is that the presumption outlined in the new law is a presumption of equal time-sharing, not of 50/50 time-sharing. This may not be a large distinction to some; however, it is worth noting because sometimes, parents can become blindly focused on the numbers, 50/50. We have seen in many instances, parents locked in lengthy, contentious battles to ensure that the child’s time spent with each parent is exactly 50%. This tunnel vision on the numbers, 50/50, often results in parents losing sight of some realities–that their specific circumstances (for example, employment, school, distance from each parent’s homes, etc.) are not conducive to an exact 50/50 time-sharing schedule and, more importantly, that their children will remember the quality of time they spent with their parents, not whether they could look on their calendars and assign them each 182.5 days per year during their childhood.

The Artemis Approach in any matter involving time-sharing is to consider each parent’s case individually and be guided by their family’s particular circumstances before, during, and after their family law matter in reaching a resolution that works best for them. If you have further questions regarding time-sharing, the revisions to Florida’s time-sharing law, or any other family law matter, please click here to schedule a consultation.

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One of the more common, and resilient, misconceptions in Florida family law is the myth that there is a presumption in favor of 50/50 timesharing (formerly known as custody). While it is true that there have been some legislative attempts to create this presumption, no bill has become law that would create this presumption. There is a statement in Florida Statutes section 61.13 that it is the public policy of Florida that each child be permitted to have “frequent and continuing contact with both parents.” However, this is far from the creation of a presumption of a 50/50 time-sharing arrangement.

Instead, section 61.13 provides the judge a vast amount of discretion in determining the appropriate timesharing (custody) arrangement for each case. Section 61.13 lists 20 factors that the judge is compelled to consider when making a time-sharing (custody) determination (see Frequently Asked Question: When can a child decide who to live with in Florida? for a more detailed discussion of those factors). Additionally, section 61.13 specifically declares that “there is no presumption for or against the father or mother of the child or for or against any specific time-sharing schedule.”

Part of what has caused confusion is the change from the prior term “custody” into two distinct, but related concepts of “time-sharing” and “parental responsibility.” As discussed above, the law does not create a presumption of equal time-sharing. The law does, however, create a presumption in favor of shared parental responsibility. Shared parental responsibility is the idea that both parents are equally involved in the decision-making as it relates to their children and that all decisions are made on a joint basis, or not at all. Shared parental responsibility does not mean that the timesharing arrangement is 50/50. In fact, it is quite common for both parents to have shared parental responsibility while exercising a timesharing plan that is far from 50/50.

While it is true that there is no statutory presumption in favor of a 50/50 time-sharing plan, some judges, in the exercise of their broad discretion, will favor timesharing arrangements that are as close as possible to 50/50. On the other hand, some judges view 50/50 time-sharing plans more skeptically than other arrangements. Therefore, it is important to retain a Florida family law attorney, like those at Artemis Family Law Group, who are aware of each judge’s preferences and skepticism in a dissolution of marriage involving children or other family law cases concerning time-sharing disputes.