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Before and After Divorce: What About the Mortgage, House & Taxes in Arizona? 

How to Avoid Costly Housing Mistakes in the Midst of a Divorce

Divorce is a tough situation which opens up many emotional and financial issues to be solved. One of the most important decisions is what to do about the house. In the midst of the heavy emotional and financial turmoil, what you need most is some non-emotional, straightforward, specific answers. Once you know how a divorce affects your home, your mortgage and taxes, critical decisions are easier. Neutral, third party information can help you make logical, rather than emotional decisions. Probably the first decision is whether you want to continue to living in the house. Will the familiar surroundings bring you comfort and emotional security, or unpleasant memories? Do you want to minimize change by staying where you are, or sell your home and move to a new place that offers a new start? Only you can answer these questions, but there will almost certainly be some financial repercussions to your decision process. What can you afford? Can you manage the old house on your new budget? Is refinancing possible? Or is it better to sell and buy? How much house can you buy on your new budget? The purpose of this report is to help you ask the right questions so you can make informed decisions that will be right for your situation.


“Once you know how a divorce affects your home, mortgage and taxes critical decisions are easier. Neutral, third party information can help you make logical, rather than emotional decisions.”


4 OPTIONS

You have 4 basic housing options when in the midst of a divorce:

  1. Sell the house now and divide up the proceeds.
  2. Buy out your spouse.
  3. Have your spouse buy you out.
  4. Retain your ownership.
It’s important for you to understand the financial implications of each of these scenarios.
  1. Sell the House Now and Divide Up the Proceeds - Your primary consideration under these circumstances is to maximize your home’s selling price. We can help you avoid the common mistakes most homeowners make which compromise this outcome. As you work to get your financial affairs in order, make sure you understand what your net proceeds will be - i.e. after selling expenses, and after determining what your split of the proceeds will be. Note that the split may not be 50/50, but rather may depend on the divorce settlement, the source of the original downpayment, and the legislative property laws in your area.
  2. Buy Out Your Spouse - If you intend to keep the house yourself, you’ll have to determine how you’ll continue to meet your monthly financial obligations, if you now only have one salary. If you used two incomes to qualify for the old loan, refinancing on your own might be a challenge.
  3. Have Your Spouse Buy You Out - If you are the one who is leaving, you have the opportunity to start again in new surroundings with cash in your pocket. However, be aware that if the the old home loan is not refinanced, most lenders will consider both you and your spouse as original co-signers to be liable for the mortgage. This liability may make qualifying for a new mortgage difficult for you if you decide to purchase a home, even though you won’t have legal ownership.
  4. Retain Joint Ownership - Some divorcing couples postpone a financial decision with respect to the home and retain joint ownership for a period of time even though only one spouse lives there. While this temporary situation means you have no immediate worries in this regard, keep your eye on tax considerations which may change from the time of your divorce to the time of the ultimate sale.

When You Decide to Sell

If you and your spouse decide to sell your home, it will be important to work together through a professional to maximize your return. Differences aside, you both should be present when a listing contract is put together. Both of you should understand and sign this contract, and both should be active in the ultimate negotiations.

When You Buy Your Next Home

Use the proceeds from your previous home or buy-out to determine an affordable price range for your next home. Maintain a clear focus on getting the right home to suit your new situation. You may wish to review with an agent who offers a house-hunting service to help find a home that matches your new home-buying criteria.  

$2,045,000
4 Beds 4 Baths 7079840 MLS 5,606 SqFt.
A magnificent hillside estate behind the quiet gates of Vista Del Corazon in peaceful 'no traffic' Gold Canyon, Arizona's best kept secret 35 minutes to Sky Harbor & 20 to Mesa Gateway. Owner invested over $225K in upgrades & improvements--new Wolf appliances, new SubZero refrigerator, new exterior doors, mechanical blinds, new carpet, new theater projection/sound, all new exterior paint, 2 new hot water heaters; recent double coating of all flat roof areas. Fine architectural features inside & out: art niches, beamed ceiling accents, arches, convenient room placements, creating private enclaves. Home is nicely upgraded w/granite counters, custom cabinetry, & new lighting. Elevator from garage to main living areas. EV charger in garage, epoxy floor. 10'- 12' ceilings t/o. Four fireplaces. Large 13' x 17' formal dining room with exeptional mountain views. New ULine under counter ice maker. Travertine, wood, carpet and luxury vinyl flooring, formal dining, large kitchen island w/breakfast bar, spacious walk-in panty, additional under-counter beverage refrigerator, 3 fireplaces, chilled wine storage, solid core 8' interior doors. Oversized master with fireplace and sitting area, including a 'Four Seasons' resort style elegant bath. Exit out here to a roof deck with 270 degree views of golf and mountains. Great for entertaining. Marble accents. Generous closet with attractive built-ins. Expansive lower lower level den/study/office/game room with fireplace, bar, and bath--ample room enough for a wonderful workout area. Just outside these doors to new a artificial turf area for pets. New 65" outdoor mounted TV on the covered patio perfect for relaxing in front of the gas fireplace to watch the Open Championship, The Masters, your favorite sport, or an evening movie. Upgraded home surround sound system included. GE stainless refrigerator in laundry room included. Ceiling fans and canned lighting t/o. Landscape lighting. Pool with cascading waterfalls, overlooking the signature 5th hole of the Dinosaur Mountain Mountain resort golf course. Portable child pool fence available. Spiral staircase to an upper view deck for 300 degree views. Oversized 3-car garage, with 22' bays and abundant built-in cabinets. Elevator entrance to main living floor for ease of access and, of course, your groceries! Distant 30 mile views over State Trust Lands and The Tonto National Forest. 36 holes of Resort golf is at your fingertips. Memberships to the adjacent renowned Superstition Mountain Golf and Country Club are available by separate agreement with its club management. Five 18 hole-golf courses are within 5 minutes. Hiking, boating, fishing, and numerous wilderness Jeep trails are all close by.

4366 S Avenida De Angeles --, Gold Canyon

$1,225,000
4 Beds 3 Baths 7079814 MLS 2,457 SqFt.
Welcome to luxury desert living in the highly coveted Sky Crossing community of North Phoenix. Built in 2021 by premier builder Taylor Morrison, this stunning single-story residence seamlessly combines modern elegance with thoughtful, high-end design throughout. From the moment you arrive, the impressive curb appeal sets the stage, featuring an extensive paver driveway and beautifully curated desert landscaping. Inside, the light-filled, open-concept floor plan encompasses four spacious bedrooms, three full bathrooms, and a dedicated private office, offering the ideal balance of everyday functionality and sophisticated design. At the heart of the home lies an expansive great room anchored by custom cabinetry, creating an inviting space for effortless entertaining and relaxing evenings. The chef-inspired kitchen stands as a true focal point, fully equipped with premium GE Café double ovens, a 36-inch gas cooktop with a sleek stainless steel hood, and a GE Profile counter-depth refrigerator and microwave. Upgraded soft-close white cabinetry with roll-out shelving pairs beautifully with leathered soft-gray granite countertops, a modern tile backsplash, and designer pendant lighting. Elegant plantation shutters and modern ceiling fans elevate the interior aesthetic across every room. Step through to your private outdoor retreat, custom-built for year-round Arizona living. The backyard showcases a spacious covered patio, low-maintenance lush turf, and a sparkling, heated resort-style pool with a Pentair heat pump and tranquil water features--the perfect vantage point to unwind and take in breathtaking desert sunsets. Practical luxury continues with high-grade infrastructure in the garage, including an owned whole-home filtration system, Crystal Tech water softener, tankless gas water heater, custom storage, and a built-in EV charging outlet, alongside a dedicated laundry room outfitted with an LG Smart washer and dryer set. Living in Sky Crossing provides access to unmatched resort amenities, including a state-of-the-art fitness center, a community clubhouse with billiards and foosball, resort-style pools, basketball courts, playgrounds, and an active calendar of neighborhood events. Positioned just moments from the world-class shopping, dining, and entertainment at Desert Ridge Marketplace, as well as quick access to major freeways, this home delivers the ultimate Phoenix lifestyle.

3437 E Daley Lane, Phoenix

$740,000
4 Beds 2 Baths 7079813 MLS 1,420 SqFt.
Beautifully updated and meticulously maintained, this 4-bedroom, 2-bathroom home offers a fresh, inviting interior and fantastic indoor-outdoor living. Step inside to a bright, open floor plan featuring Luxury Vinyl wood-look flooring, recessed lighting, beautiful finishes, and abundant natural light throughout. The spacious living and dining areas flow seamlessly into the updated kitchen, which features high end white cabinetry, stainless steel appliances, stylish tile backsplash, ample counter space, and generous storage--creating a comfortable and functional heart of the home. Both bathrooms have been tastefully updated with modern finishes, while four well-proportioned bedrooms provide plenty of flexibility for family, guests, a home office, or additional living space. Outside is where this home really shines. The large, beautifully maintained backyard offers an impressive amount of usable space, mature landscaping and privacy. An expansive covered patio stretches across the rear of the home, providing the perfect setting for outdoor dining, entertaining, or simply relaxing and enjoying the Arizona lifestyle. The additional patio areas and generous lawn create endless possibilities for entertaining, play, pets, or future improvements. From the welcoming curb appeal to the thoughtfully updated interior and exceptional backyard, this is a truly move-in-ready home that has been exceptionally well cared for. A wonderful combination of style, functionality, space, and pride of ownership.

14037 N 57th Street, Scottsdale

$595,000
2 Beds 2 Baths 7079738 MLS 1,843 SqFt.
Welcome to this beautifully appointed and meticulously maintained 2 BR + Den, 2 BA condo in the prestigious community of Grayhawk. Step into an open, inviting, and comfortable layout with abundant natural light, spacious living area, and a cozy gas fireplace that creates an ideal space for relaxing and for entertaining. This popular split floor plan features a private primary suite, guest bedroom with Murphy bed, a den/office, and guest bath. Plantation shutters throughout. The well-appointed kitchen features warm wood cabinetry, KitchenAid 5-burner Gas Range, Viking French door Refrigerator, Fisher & Paykel DishDrawer Dishwasher, and built-in Microwave Oven. Breakfast Bar with seating is open to the Dining area. Enjoy Arizona's blue skies on the beautiful covered patio area. Another great feature is an oversized 2-car garage that opens to a private stairway and Entry. Detailed floor plan is under the Documents tab and included in the photos. Village at Grayhawk offers a resort-style setting with 3 heated pool & spa areas, 2 fitness centers, and beautiful walking paths. Perfect for a full-time home or a winter retreat. Ideal Location in North Scottsdale. Close to: Golfing, many casual and primo restaurants, Kierland Commons, Scottsdale Quarter, Thompson Peak Park, just to name a few popular places. This home offers comfortable living in a picturesque setting! *Some furnishings may be included in sale.*

19700 N 76th Street Unit 2001, Scottsdale

$2,500,000
3 Beds 4 Baths 7079730 MLS 3,250 SqFt.
Set behind the gates of Adero Canyon, this exceptional single-level residence captures the best of luxury desert living with panoramic mountain and city-light views. The 3,624-square-foot property includes a 3,250-square-foot main home, a detached 374-square-foot casita, three bedrooms plus a den, 3.5 bathrooms, and a rare four-car garage. Custom steel doors open to a dramatic private courtyard and an expansive great room with soaring ceilings and refined designer finishes. The chef's kitchen is beautifully appointed with Wolf and Sub-Zero appliances, quartz countertops, custom cabinetry, and a generous walk-in pantry. The serene primary suite features a spa-inspired bathroom and oversized walk-in closet, while a second ensuite bedroom offers the comfort and privacy of an additional primary suite. The detached casita provides flexible space for guests, a private office, or multigenerational living. A dedicated game room adds another inviting place to relax and entertain. Designed for year-round outdoor living, the resort-style backyard features a sparkling pool and spa, travertine decking, built-in BBQ, pizza oven, kegerator, bar seating, fire pit, and built-in patio heaters. A side-yard putting green, professionally designed desert landscaping, and thoughtfully placed lighting complete the setting, with stunning views from sunrise through the evening city lights. Located near the Adero Canyon Trailhead and just minutes from The Adero Club, Scottsdale dining, Mayo Clinic, and BASIS schools, this one-of-a-kind property delivers privacy, flexibility, and an elevated Fountain Hills lifestyle.

14062 N Territory Trail, Fountain Hills

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