Divorce enquiries have soared since the pandemic, with a recent Relate survey finding that almost a fifth of people in relationships have considered the prospect of divorce or separation in 2023.

So, it’s perhaps unsurprising that the latest data from Savills Research suggests that those in the market because of a relationship breakdown are one of the buyer and seller groups most likely to be active in the early part of this year and also the most committed to moving within the next three months.

Selling a property in the wake of divorce or separation is up there with divorce itself as one of the most stressful life experiences. As the most valuable asset in the majority of relationships, the matrimonial home can provoke strong feelings on both sides. Thankfully, there are steps you can take to make navigating this difficult time a little easier.

In many ways getting a divorce is simpler and swifter than it has ever been – thanks to the introduction of new legislation last spring allowing couples to get a no-fault divorce within six months. But, as Osbornes Law family partner Lisa Pepper tells me, this is only half the story.     

‘While a divorce is final and binding once the final order (previously known as the decree absolute) has been granted, financial agreements are a separate process which are not mandatory but strongly advised to ensure fairness and prevent any disputes in the future,’ she says.

‘If you don’t sort out your finances while you are going through the divorce process, and instead choose to delay that element, then you won’t have a clean break and your rights to claim against each other remain open,’ she adds.

When it comes to the matrimonial home some people opt for one spouse to buy the other out and keep the property while others may decide to sell the house and divide the proceeds. Alternatively, it’s possible to keep the home under joint ownership with one partner continuing to live in it.

For some people it may make sense to sell quickly during a divorce or separation so both can move on with their lives. For others this might not be possible. It’s particularly crucial to proceed with care and caution where children are involved for instance.

If an ex-couple cannot agree on a financial settlement, they may have to turn to the courts for a Financial Remedy Order.

‘This is legally binding and may state for example that there is to be a lump sum payment or change in ownership of a property. If the couple just agree between themselves to sell the property, then it’s not binding. If one starts trying to delay a house sale for instance, you can’t do anything about it. The order enables you to enforce that. If one partner is buying the other partner out then having the order also ensures the transaction is exempt from stamp duty,’ says Pepper.

There is no fixed formula when it comes to dividing property. While negotiations will usually start at around 50/50, solicitors for each side will try to calculate who should receive what, based on the financial situations of everyone involved.

If an ex-couple decide to sell and split the proceeds it’s common practice to get three valuations from estate agents and consider the average of these when they make their calculations. 

When it comes to selling, however, it’s worth noting that setting a high asking price is invariably not the best way to achieve the highest price. Realistic pricing can be the best way to create competition and, ultimately, value for the seller.

It all comes down to what someone is willing to pay for your property, something that is trickier to establish when there is economic uncertainty.

It’s always a good idea to work closely with an experienced and knowledgeable agent who knows the local market well and will help negotiate the right terms for you. 

They’ll also be the first to learn about new properties being marketed for sale to help you plan your onwards move – particularly if you choose an agency with a national and international network such as Savills.

Further information

Contact Victoria Knight