Divorces are often messy and emotional, and the divorcing couple may not be able to make fair and equal decisions together. Disputes pertaining to property division in a divorce are bound to arise, especially when both parties want to keep their vacation home.
Because of the way Kentucky treats separate and marital property, it depends on when the house was purchased or inherited. As long as the vacation home was acquired during the marriage, it belongs equally to both divorcing spouses.
Should you sell or share the vacation property?
There are several ways to approach this issue when both parties are adamant about wanting the vacation home:
- Sell the property and split the proceeds. Once the vacation home is sold and outstanding bills are paid off, the remaining proceeds will be split between both parties.
- Share the property. Both parties must agree to a schedule that gives each of them equal time in the vacation home. They both will be responsible for any maintenance and expenses that arise pertaining to the property.
- Equally split the homes. One spouse will live in the permanent residence and the other spouse will live in the vacation home.
- Buy the property from your ex. In this case, one spouse gives up their share of the vacation home and is paid the difference from the spouse who wishes to keep the property.
Once decisions are made, the divorcing couple signs an agreement outlining their plan for the vacation home. They must then file the agreement with the court.
The couple can try to work things out on their own. However, in many high-net-worth divorces, animosity makes this difficult to do. That’s when divorcing couples must rely on the court system to oversee the division of property that was acquired during the marriage.