What happens to the house in a California divorce is one of the most emotionally charged questions in any dissolution. The family home is often the largest community asset, and both spouses may have strong feelings about keeping it. California law provides several options, and courts have authority to order a sale if spouses cannot agree.
Option 1 — Sell the House and Split Proceeds
Selling house during divorce california is the most common resolution. Both spouses agree on a listing agent, a list price, and how to divide net proceeds after paying off the mortgage, closing costs, and any equity lines. Selling house during divorce california proceeds are divided 50/50 unless the parties agree otherwise or one spouse has a separate property contribution to the purchase price. Courts can order the house sold over one spouse's objection through an order for sale.
Option 2 — Buyout
One spouse buys out the other's 50% equity interest by refinancing the mortgage in their name alone and paying the other spouse their share. A divorce home buyout california requires the buying spouse to qualify for a new mortgage individually. The buyout amount is based on the appraised value minus the outstanding mortgage balance, divided by two. If the buying spouse cannot refinance, the court can set a deadline and order a sale if the refinance does not occur by that date.
Option 3 — Deferred Sale
A deferred sale of home order (DSOHO) under Family Code section 3800 allows the custodial parent to remain in the family home temporarily for the benefit of the children. Courts consider: the children's best interests; the custodial parent's ability to maintain the home; the tax consequences; and the non-custodial parent's need for their equity. Deferred sale orders are temporary — the home must be sold when the youngest child reaches 18 or another triggering event occurs. Furubotten Law, APC handles real estate division in divorce throughout Orange County and Riverside County. Call (714) 795-3862 for a complimentary case evaluation.