Selling After a Divorce: Do You Need One Agent or Two?

While divorce isn’t always the easiest subject to talk about, it is important to do so – especially when it comes to real estate. Given the emotional and personal nature of this topic, some people may feel shy or hesitant about asking certain questions.

So to make things a little easier, we’ve decided to take a closer look at one of the most common questions we as agents hear about this topic. 

“If my spouse and I are going through a divorce, will we need one agent to sell the home or two?”

We know that divorce can be extremely challenging, and we’re happy to provide you with empathetic and personalized guidance on any real estate questions you may have about this unique process. Click here to send us an email or give us a call at 416-571-2724. 

Real Estate & Divorce in Ontario

Before jumping into the specifics of selling a home after a divorce, it’s helpful to highlight some of the overarching regulations that impact shared belongings between married couples. 

In Ontario, the province recognizes that the home is usually the largest and most significant asset that couples will share. As a result, it’s treated with special status from a legal perspective. This concept is known as the ‘Matrimonial Home’ and it helps to ensure everyone is protected by dictating that both spouses will have equal rights to the home during and after their marriage. 

What About Common-Law or Unmarried Partners?

Given today’s economic climate and changing norms, it’s not unusual for couples to purchase a home together before their nuptials. 

During the separation of a common-law couple, partners do not always share equal rights to the home in the same way a married couple would. However, if both partners purchased the home together and both names are on the title, then it would be considered a shared asset. 

Looking for more general tips on selling your home? Check out these blog posts.

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What Happens to the Home?

Generally speaking, a couple will choose to do one of two things with their home after a divorce. 

The first option is a split sale. In this case, neither party will stay in the home and it’s sold on the market. The profits are then divided between both spouses. Comparatively speaking, this process is closest to a traditional home sale with additional considerations surrounding communication and decision-making. 

Option number two is a partner buyout. This is when one former spouse decides to stay in the home and takes on the remainder of the mortgage by purchasing the other’s share in the home. One element that adds a layer of complexity to this process is equity. Because the home has likely appreciated in value since it was first purchased, both parties must agree on how much equity has been gained since then. 

While these two pathways are fairly distinct from each other, they do share one thing in common – the need for professional support. 

Working With The Same Real Estate Agent

Regardless of whether you and your former partner are pursuing a joint sale or buyout, working with the same real estate agent can help to make the sale process easier and more efficient. In many cases, couples who are separating will choose to work with the same agent who helped them buy the property originally. 

One of the potential benefits of working with the same real estate agent is familiarity. If both you and your former spouse have worked with the same real estate agent in the past, you may have established a level of trust and comfort with that agent. You and your former spouse may feel that your preferred agent understands your needs, communication styles, and the specific circumstances of your home, which could definitely help to streamline the process.

Searching for more specialized real estate advice? You may like these blog posts, 

• Tip For New Landlords in Ontario
• 3 Things Seniors Should Know Before They Sell Their Home
• What Happens if My Pre-Construction Condo Is Delayed?

Working With Two Agents

At the end of the day, ensuring you feel heard, comfortable and respected during the sale or buyout of your home is essential. 

Unfortunately, not all spouses will see eye to eye on who is the best agent to help sell their home. In these cases, it is possible for each individual to hire their own agent – however, it will introduce a few complications and special considerations. 

Mainly, working with two separate agents generally means a longer selling process. From researching and hiring a new professional to ongoing communication and negotiation among parties, involving another agent naturally adds more time to the sale. 

Selling your home after a divorce? Our team can provide an empathetic, risk-free home sale. To get in touch, click here to send us an email or call us at 416-571-2724.