If you are getting divorced in Tennessee, it is not uncommon to learn that your spouse wants to keep your house instead of selling it. This happens quite often, especially when a couple has children who still live at home. The emotional desire to maintain any sense of stability and familiarity for kids is understandable. However, you should be careful to not allow this emotional tug to put you in a bad financial situation.
As explained by MortgageLoan.com, if your spouse wants to retain your family home, you should insist that they refinance to get a mortgage in their name only. This is the only way to ensure that you will be free of the financial liability associated with the house. Even if you sign a quit claim deed that transfers your portion of the ownership to your spouse, you will be considered financially responsible if your original joint mortgage remains in place.
A divorce decree that stipulates your spouse is supposed to make mortgage payments might seem like good protection but it is not sufficient. If your spouse misses or is late on a mortgage payment, for example, your credit will take the hit for that just like theirs will if your name is on the mortgage.
If you would like to learn more about your options for protecting your credit if your spouse wants to keep your marital home when you get divorced, please feel free to visit the asset and debt distribution page of our Tennessee family law and divorce website.