The Cascade Team Blog

I was recently talking to a colleague who had an extremely frustrated client due to the fact that her home was worth $150,000+/- less than the number she agreed to in her divorce settlement.  When he asked her why the house wasn't sold as part of the agreement she told him that she wanted to keep the house for the kids. She went on to say in hindsight she couldn't afford the house, but figured she could sell it and make a profit someday. Unfortunately, she agreed to a number that may or may not have been market value determined by an appraiser out of Seattle. Real Estate is no different than other markets; it moves up AND down. These decisions are NEVER easy and often emotional, but it is my opinion that careful consideration is made to sell the real estate and split the equity (or the loss) equally or per the settlement agreement. Also, don't forget to take into account the cost of selling the house, I.E. Commissions, excise tax, needed repairs and escrow & title charges. Work off of the net number for the division of cash, not a gross number. On a large sale it could mean tens of thousands of dollars. First and foremost, always consult a Real Estate Broker; it could save you a lot of money.