What You Need to Know About Valuing Real Estate for Divorce Purposes

Will you be selling your marital home or other real estate as part of the divorce process? Or are you hoping to negotiate a property settlement with your spouse that allows you to keep the marital home? Either way, it is important to learn more about valuing real estate during a divorce in Michigan. When you have valuable marital property, including a primary residence, vacation home, or other real estate, it is often important to have that property appraised and to seek advice from an appraiser with experience handling real estate similar to yours in divorce cases.

An article in The Huffington Post discusses important matters to consider when you are valuing real estate in a divorce. Taking into account that article, the following is a list of things you need to know about valuing your home for divorce purposes.

Learn More About the Real Estate Market

Doing some initial research on your own can help you to get a sense of the current value of the real estate you own with your spouse. You can use websites like Zillow to get a sense of how market values for properties in the same neighborhoods have shifted. Engaging in initial research yourself can also help you to understand how a real estate appraiser’s valuation, as well as a Comparative Market Analysis-both of which we will discuss subsequently-can help you with this complex process.

You Should Get a Real Estate Appraisal

As the article explains, the most reliable way to obtain a current valuation of your real estate is to get an appraisal from a licensed real estate appraiser. In some situations, both parties will agree to use the same appraiser. In other situations, however, it will be important to hire your own appraiser. You should know that real estate market values can shift significantly in even a few years’ time. As such, even if your property was appraised, for example, in 2015, you should still obtain a new appraisal. Failing to get an accurate and recent appraisal could end up costing you in the long run (or you could lose out on money in the long run) when the property is divided.

Investing money upfront in an appraisal can save you money down the road.

Consider a Comparative Market Analysis

Sometimes a Comparative Market Analysis (CMA) can be an inexpensive tool for learning more about the current market value of your real estate. The article points out how a CMA “looks to the other homes for sale or recently sold in your area and compares those homes and their sale prices with your home’s value.” A CMA is usually “a more cost-effective option than an appraisal,” but it may not be as accurate.

Contact a Divorce Lawyer in Michigan

If you have questions about valuing your home or other real estate because you are getting divorced, it is always a good idea to seek advice from an experienced divorce lawyer in Michigan. Property distribution is complicated, and it often becomes more complex when real estate is involved. Contact the Law Offices of Michael A. Robbins to learn more about how we can assist you.