Avoid these money pitfalls during property division

Many couples in Kentucky find themselves arguing about money prior to getting a divorce. Financial battles can rear their ugly heads while the couple hashes out post-divorce issues. The following are some tips for couples to keep in mind when it comes to property division, so that the process does not cause a person to suffer further financial strain.

A home is more than just a place to rest your head after a long day. For many, their home is full of good memories. This sentimental value can be hard to compensate for when it comes to divorce. But before one decides to fight to keep the family home, they should keep two things in mind.

First of all, after the divorce they'll be responsible for making the same monthly house payments as they were while they were married, albeit now on a single income. And when it comes to home ownership, there is bound to be some unexpected maintenance issues. If one cannot financially handle these situations on their own, they may be better off selling the house and splitting the proceeds.

One should also keep in mind that if they decide to keep certain pieces of property, they might face financial issues further down the road. For example, they may covet certain investments when it comes to property division. However, should they later choose to sell those investments, there could be tax consequences and other sales-related expenses.

Couples also need to keep retirement plans in mind. "Winning" the house in lieu of giving up a retirement account could hurt a person financially in the long run. Retirement accounts often gain value as the years go on, but this is not always true when it comes to real estate. It is important to keep in mind the long-term consequences of keeping certain pieces of property.

As this demonstrates, deciding whether to keep the house, certain investments and other valuable pieces of property can have a big impact on one's future. Making sure to seek the appropriate advice in these situations is recommended, so that fair outcomes can be fought for.