A divorce can require daunting decisions, especially if you have children and do not want to disrupt their lives by uprooting them from the only home they have known. This is why some couples do not sell their marital home right away.
According to Homelight, a deferred sale happens when a divorcing couple establishes a future date to sell their home. Threshold events such as your children becoming legal adults or graduating from high school may trigger an eventual sale. A deferred sale may happen in different ways.
An agreement between the parents
An ideal way to work out a deferred sale is for you and your spouse to complete your own agreement. You can describe terms such as how to divide up the remaining mortgage payments between the two of you and whether you or your spouse will continue to live in the home with the children.
Using a court order
Unfortunately, not all divorcing spouses are on amicable terms. If you and your spouse still want to delay a home sale but cannot work out an agreement, the custodial parent may go to court and ask for a court order to establish a deferred sale.
A judge will usually grant a deferred sale order on two grounds. One is that delaying the sale will be in the best interest of the children. Secondly, the custodial parent is in financially strong enough shape to handle the sale.
Deferred sales are not always beneficial
Delaying a marital home sale can have its drawbacks. Continued mortgage debt can bind together spouses for longer than they wish. Also, spouses on bad terms might not be able to manage a marital home together.
Since the needs of divorcing spouses vary, consider your options in light of your personal situation.