Can one of the parties get back the down payment they provided for the family home in a Louisville divorce? You may have owned another asset prior to the marriage and sold it to contribute to the down payment. You may have received a gift from a family member, or made a withdrawal from a savings account you had built up prior to the marriage.
The question of whether or not you can get back the down payment from the family home as part of property division in a Louisville divorce comes down to a few important facts:
- What was the source of the separate funds you contributed for the down payment?
- Is there evidence which establishes the source of funds existed and was in your own name prior to the date of the marriage?
- Is there any equity in the home itself?
In order to get back the down payment you provided for the family home we will need to establish the funds you provided were your own “separate” assets and provide a clear and provable trail of these funds to the Court.
The experienced and proven divorce and family law attorneys at Dodd & Dodd will help you to document and establish the amount of the down payment you contributed. This is commonly referred to as “tracing” the source of funds.
We will provide properly structured documentation known as a reimbursement claim which identifies the specific separate source(s) of the down payment and the amount.
If your former spouse wishes to keep the house they will be required to reimburse you for the amount of the down payment as part of the property division process.
The more common solution involves the sale of the house itself. Once the sale is completed and anything you owe to mortgage companies or other secured interests is repaid what remains is considered to be “equity.”
The reimbursement claim ensures you get back the down payment before the remaining equity is split between you and your former spouse. We invite you to review the strong recommendations of our former clients and contact us or call 502-584-1108 to schedule an appointment with one of our experienced divorce and family law attorneys.
