Colorado Divorce Laws: Division of Property
For many couples, their largest asset and investment is their home. It’s no surprise, then, to have concerns about what will happen to the property in the event of a divorce. No divorce is the same, meaning there’s no easy way to answer what happens to the family home. Thankfully, we can look at Colorado’s property division laws to weigh the potential outcomes and guidance.
To learn more about property division in Colorado Springs, contact Knies, Helland & McPherson today.
Marital Property Vs. Separate Property
Colorado is an equitable distribution state, meaning that all marital assets are divided equitably, which does not necessarily mean 50/50. If couples cannot negotiate or mediate matters on their own about property division, the courts will intervene and decide who receives the house. They will look at a variety of factors in determining what a fair manner to split your assets and debts is.
The next thing you need to consider is whether the house is marital property or separate property. Separate property typically includes assets you owned before the marriage, inheritance, and gifts, and it is not subject to division in a divorce.
If the home was purchased during the marriage, the house is likely marital property, thus subject to division. There are many options as to what can happen to it. For example, the court can order the sale of the house, or they may assign it to the custodial parent.
Generally, the courts will look at the child custody arrangement and either spouse’s ability to obtain a mortgage with their sole income when dividing the home. In some situations where neither spouse wishes to retain the home, the courts may order its sale, and both parties would split the proceeds.
Property division can be an arduous process, especially if you do not have a skilled divorce attorney advocating for your best interests. Our team at Knies, Helland & McPherson can negotiate on your behalf while advising you of your legal rights and responsibilities. We’ve created a new approach to divorce— one that ensures you’ll have someone partnering with you for a successful future.