One of the things that can be a major driver of a person’s decisions in property division negotiations in a divorce are their views on the worth of the various different assets in the marital estate. Thus, having accurate views regarding asset worth can be very important for individuals here in Texas when getting divorced.
One thing that can be an important part of getting an accurate picture of an asset’s worth is having a good idea of what its current fair market value is. Thus, accurate asset valuation can be very valuable when preparing for property division issues in a divorce.
Something to keep in mind though is that, for many types of assets, their current fair market value is not the only thing influencing their overall worth. Thus, for many marital assets in a divorce, current fair market value is not the only thing it is important to look at when determining overall asset worth.
Other things that can impact an asset’s overall financial worth include:
- Whether any maintenance costs are associated with the asset: Some assets require regular expenditures for their maintenance. Such costs can potentially be a significant financial burden on the person who ends up with the asset.
- What tax implications are connected to the asset: Different assets have different tax implications. Some assets can end up exposing a person to a pretty significant tax burden if they end up with the asset in a divorce.
- What is likely to happen to the asset’s value in the future: Some assets are fairly prone to depreciation over time, others are pretty good at holding value over time and others even have a fair chance of rising in value over time.
- How easy selling the asset would be: Assets can vary considerably in how easy they are to sell. How easy/difficult it is to sell a given asset can impact how helpful the asset would be for a person in the event they up facing an unexpected financial difficulty that requires a quick in-flux of cash.
Divorce attorneys can help divorcing individuals here in Texas with looking into the various things that impact marital asset worth and with getting the asset worth information they need to make well-informed decisions in property division matters.
Source: New Hampshire Union Leader, “Money Sense: Financial mistakes to avoid during a divorce settlement,” Marc A. Hebert, May 2, 2015