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Emotional vs financial: Factors that may impact asset division

| Jan 11, 2018 | Blog |

It is easy for most Tennessee residents, including you, to get attached to certain possessions. You may have put a lot of time into saving for a certain asset, or you could have put a lot of effort into restoring or decorating a piece of property to make it just right. Whatever the reason, you are not alone in feeling that some of your assets have become a part of who you are and what you have achieved.

Because of these feelings, many people often have a difficult time letting go of certain property. When it comes to divorce, the situation may become even more challenging to face. You may think that you should fight to hold on to particular assets due to sentimental value or other reasons, but you may wish to look closer at the future impacts keeping that property may have. In particular, the family home could act as a conflicting point.

Emotional factors

In general, emotional reactions tend to result in many people wanting to keep the family home. Even if a response seems logical, it may, in fact, have more emotional ties than realized. For instance, if you have children, you may think that keeping the home is a logical step in order to avoid disrupting their lives. However, guilt or anxiety may actually play a role in this thinking.

You may feel guilty that your kids might lose a familiar place to call home or face their own emotional issues due to losing a place to which they have likely also become attached. As a result, you may think you should fight for the home for your kids.

On the other hand, anxiety may also play a role in your decision. The idea of packing up your life, finding a new home, having to downsize and numerous other factors associated with moving may cause you to feel a great deal of anxiety. This feeling may lead you to thinking that it would simply make sense to remain in the home.

Financial factors

Though emotionally-driven responses are often strong, they may not act in your best interests. When it comes to keeping a home after divorce, many people face financial struggles. You may not consider the tax implications, mortgage payments on a single income or sacrifices you could have to make in order to maintain the home. As a result, you could end up house rich but cash poor.

Rather than letting emotions drive decisions, you may wish to logically assess your situation. Before you decide to give up other important assets in order to keep the home, you may wish to discuss your situation with a knowledgeable professional who could help you find the best property division route for your circumstances.