A contested divorce can quickly turn into one of the most expensive legal battles an adult engages in during his or her lifetime. Few people come out of their divorce unscathed and many spend years recovering emotionally as well as financially. Though most are prepared for the process of dividing various assets, some do not consider how divorce will impact their investments. Knowing what types of investments a divorce may affect can assist you when the time comes to discuss what type of settlement you want. Understanding how divorce can affect investments also helps you to make long term plans to protect your financial future.
Investing in real estate gives you a tangible asset that increases in value over the year. Couples sometimes invest in real estate to create a passive income and that investment can quickly become a problem during a divorce. If the court insists that you and your spouse liquidate all assets, selling a property, especially if it has tenants, can turn into an expensive nightmare. Unfortunately, dealing with real estate that you do not actually live in can turn out to be easier than dealing with your current home.
Remember, the marital home is also an investment that must be considered in the divorce settlement. Often, figuring out how to deal with this specific asset is complicated by emotional ties, children, and the need to divide other property within the house. The desire to keep a marital home makes some overlook the fact that their home is ultimately another asset. Dealing with the time-consuming process of selling real estate while a divorce is in progress is not an easy situation to navigate. However, it is vital that you address any potential real estate related issues with an attorney to avoid losing property that rightfully belongs to you.
As divorce among older adults increases, more people are familiarizing themselves with the realities of dividing a 401(k) or IRA as part of a settlement agreement. Losing a large percentage of your retirement savings is hard, but in some cases, liquidating a stock portfolio is even more of a financial blow. Selling stock as part of a divorce settlement is not your only option, but in some cases, it is the easiest choice. Alternatively, you and your spouse may find yourselves working with financial planners or forensic accountants valuing the worth of your investments to determine the best way to divide the portfolio without facing too many tax consequences.
Vayman & Teitelbaum
No divorce is easy, and dividing assets fairly can make an already complicated situation volatile. Instead of attempting to negotiate on your own, contacting a division of property attorney is the best way to secure your fair share of joint property. The aggressive attorneys at Vayman & Teitelbaum are ready to work with you to make sure your joint investments are documented properly and divided appropriately. With four offices located throughout the Atlanta metro area, we are always ready to discuss your case. Contact us today and schedule an initial consultation so that we can begin providing you with the legal assistance you deserve.