You may be wondering what will happen to your home if you decide to separate from your spouse. Below, you will find a few things to note, for educational purposes. There are a lot of factors that come into play legally. A family lawyer would be able to advise you accordingly, before making any decisions that may impact your well-being.
Can my spouse sell our home?
As a general rule, without consent from the other spouse, neither spouse can sell or encumber an interest in a matrimonial home, except by court order, unless the other spouse released their rights to the home in a separation agreement.
How does the value of it affect me financially in separation?
In Ontario, the matrimonial home is treated differently than the other assets under the equalization process (equalizing net value at separation, see here for explanation). Its value is not deducted from a spouse’s net family property (NFP) as a date of marriage asset, even if that spouse did own the property at the time of marriage. The Matrimonial Home value is included in the valuation date assets of the spouse who owns the home (or divided between the two spouses, if title is held jointly). This has the effect of making the home-owning spouse’s NFP substantially higher than it would be if the home were deducted as a date of marriage asset. In this case the other spouse may be owed an equalization payment.
What is equalization or NFP and how does it get calculated?
Before making any agreements on any assets or debts, it is best to consult a lawyer to obtain legal advice and to understand your rights and responsibilities under the Family Law Act.
At Greatrix Law we offer comprehensive Family Law Services in Guelph, Kitchener, Brampton, Milton and surrounding areas. Our experienced lawyers can assist you in creating a family plan that is in your best interest.
If you would like assistance please send us an inquiry at info@saglaw.ca or call us at 519-823-4853.
For comprehensive family legal services, our firm offers expertise in areas such as divorce, child custody, spousal support, property division, financial disclosure, child support, custody agreements, cohabitation agreements, separation agreements, family mediation, domestic violence cases, Family Responsibility Office Enforcement, and parenting time arrangements.
This post does not constitute legal advice and is only intended for educational purposes.