Matrimonial Home

As the name suggests, the “matrimonial home” is a place where a family is formed due to marriage, a new house may be purchased, a new place may be rented, and a residence provided for the children. When you get divorced, you will no longer be able to live with your spouse. Under normal circumstances, one party will move out. At this time, there may be disputes over the marital home, because it may be a joint property or may not be an asset of both parties (sometimes it may be Parents or family members of both parties provide money to purchase). The court’s decision to grant use or possession of the matrimonial home (the couple’s principal residence) to one party will largely depend on the needs of the family, financial resources and all other factors involved in the case. The matrimonial home is often the most valuable asset of both parties, and the nature of the home is also one of the major factors that need to be considered.

1. Rental accommodation One of the parties (usually the one taking care of the children) will remain at the residence to maintain the children’s living conditions, and who pays the rent will depend on the circumstances. If circumstances permit, you may choose to find another residence for both parties. Because the spouses are likely to live separately, the family renting the house may not be so wealthy, the rented place may become smaller, and eventually both parties may rent another residence.

2. Dormitory provided by one of the employers If one spouse’s employer provides dormitories, the other spouse usually needs to move out after the divorce. In this case, the moving party may be able to claim accommodation costs from the other party, which will be one of his/her most significant needs when making a financial claim. Some disciplinary forces or groups may take back the residence provided due to divorce. How to maintain the living environment of both parties after that is also an important issue. 3. Both parties jointly own a residence The court has broad discretion, for example, to transfer the ownership of the residence to another party by issuing a property distribution order; or to sell the residence concerned, and the amount realized will be given to one of the parties through a lump sum payment order. The relevant circumstances are detailed as follows:

Sell

The property can be sold by mutual agreement. The proceeds from the sale may be divided equally or by an agreed amount, or by such percentage as the court deems reasonable. Each party’s contributions, needs and financial burdens (such as the need to find another home for the children or redeem their mortgage) will affect the amount they are entitled to. transfer Ownership of a property may be transferred from one party to another without reservation or upon payment of a sum of money by the other party. Assuming that the children will live with the wife, the court will usually reserve the matrimonial home for the wife and children rather than for the husband if it is financially feasible to maintain the children’s current living situation. If the court considers that the value of the transferred property exceeds the total amount to which the wife is entitled, the wife may be required to pay a sum of money to the husband as compensation. If the wife is unable to make the necessary compensation, the property can still be transferred to the wife’s name, but the husband can still retain part of his ownership in the property in the form of a mortgage. His interest can be denominated in a lump sum or a certain percentage of the ownership. Calculation, and the relevant ownership rights can be cashed out in the future. If the assets of both parties are insufficient to immediately redeem the mortgage on the matrimonial home, the mortgage will be transferred to the wife’s name, but the approval of the mortgagee (bank) must be obtained in advance. In this case, the wife will be responsible for the mortgage payments. If the wife does not have a stable income, the mortgagee may require the husband to provide guarantee for the repayment.

Jointly owned

If one of the parties intends to continue to live in the residence after divorce, and the relevant circumstances permit, such as children living there and both parties having sufficient resources, they can jointly retain the property and sell it at a specified later date. The proceeds from the sale will be divided equally or according to an agreed amount, or by such percentage as the court deems reasonable. Until the residence is sold, the wife (or the person living with the children) will be granted exclusive occupancy rights.

Both parties have an interest in the residence

In certain circumstances, the husband may retain an interest in the original matrimonial home or replacement property, provided that he continues to be responsible for the mortgage. The husband’s interest may be secured by joint ownership or by a charging document similar to a mortgage. In the latter case, his interest may be calculated as a sum or as a percentage of the title. In either case, both parties need to reach an agreement on when the husband will be able to cash out his interest in the property. Usually the following events occur that lead to this arrangement: Wife dies, remarries or cohabits; The child or youngest child reaches a specified age or completes his or her day program; or Sale by mutual agreement.

But if the husband needs funds immediately, such an arrangement will not help him. The wife should also note that after selling her residence in the future, she will have to use the proceeds and her own property to find a place to live on her own. If the amount received is not enough to purchase another property, it will be difficult for her to obtain other funds or a mortgage. In addition, whenever the parties retain an interest in the matrimonial home, there may be potential conflicts and it is therefore best to avoid the above arrangements. If it cannot be avoided, you should identify potential problems in advance and decide on a solution to such problems. For example, when paying for interior or exterior repairs to the property, you may pay based on the percentage of ownership owned by both parties.