Divorce can be a difficult process because it involves a lot of negotiations, especially when it comes to dividing assets. Here in Canada, different provinces have different laws when it comes to the division of marital or family properties. If you’re going through a divorce, consider asking a local appraisal company for assistance to eliminate the guesswork.
Appraisal firms in Toronto can tell you everything to know about property division after divorce to help prevent (or at least reduce) disagreements between you and your spouse. They can conduct divorce appraisals during the settlement to simplify the dissolution of assets in your marriage in terms of property and home values.
If you and your spouse jointly own one or more properties, it’s vital to understand how to divide them if you decide to separate. Aside from prenuptial or postnuptial agreements, you can also obtain an appraisal before marriage to save you from unnecessary difficulties should you decide to part ways down the line.
By including an agreement on how to divide the property based on its appraised value in the case of a divorce, asset division can be simplified, provided both parties agree that the property’s value has not changed since the agreement was made. The most typical action taken in property ownership during separation is known as a buyout.
During a divorce, a jointly-owned property is typically handled in one of three ways: through a sale, continued co-ownership, or a buyout by one of the partners. Having a certified appraisal can be beneficial in all three scenarios, but it is particularly useful when it comes to a buyout.
The process of a buyout generally involves both spouses agreeing on the fair value of the property or properties in question. The spouse who will become the sole owner then pays the other spouse half of the agreed-upon value, either in a single payment or through a legally agreed-upon payment plan. If there are any outstanding mortgage payments, arrangements can also be made to release the spouse being bought out from their mortgage obligations.
The Appraisal Hub can perform divorce appraisals to help couples avoid disagreements and litigation. This highly trusted and established appraisal company can provide thorough and detailed appraisal reports that can be used as valid legal documentation in Toronto.