Legal Question in Family Law in Michigan
Purchases made during a divorce
If some one files for a divorce, and then purchases a house before the divorce is final; how, or will, this effect the divorce settlement.
3 Answers from Attorneys
Re: Purchases made during a divorce
This reposnse assumes that the divorce and purchase of the new home is in the state of Indiana. Generally, what each party aquires after separation is usually considered their own separate property. However, you must be aware that there could be an issue if the other party is claiming that funds or property from the marriage soon to be final, is being used for the purchase of the new house. If this were the situation, there could be a claim made that the other party might have an interest in it. Depending on the issues of the divorce action, there could be other potential issues, but otherwise there should not be a problem.
Re: Purchases made during a divorce
To Whom It May Concern:
This is in response to your email of September 12, 2001, which this office received on October 26, 2001.
From a legal standpoint, all property purchased during the marriage and until the Judgment of Divorce has been entered is marital. It is up to the parties to agree or the court to decide how marital property will be divided. Therefore, if the house was purchased after the divorce was filed, but before it is final, it can play a role in the settlement. These purchases can create issues such as, where did the deposit for the house come from, was any part of the deposit marital in nature?, etc. On a practical basis, it may not play a role if neither party has any issues regarding the purchase of the property and its ownership.
Without more details this is the most complete answer I can provide.
Sincerely,
Michael D. Eberth
(313) 561-5700
Re: Purchases made during a divorce
Usually before closing the mortgage company will want a signed statement from the other party, stating that he or she won't try to claim any part of the value of the house.
It's always tidier to wait till after the divorce is final, but if you don't, the mortgage company will know how to handle this issue for you.