Who Gets to Keep the House in an Indiana Divorce?

Introduction: The Fight Over the Marital Home

For many divorcing couples in Indiana, the family home is one of the biggest assets—both financially and emotionally. Deciding who gets to keep the house can be a difficult and contentious issue, especially if both spouses want to stay.

Since Indiana follows equitable distribution laws, courts do not automatically give the home to one spouse. Instead, the decision depends on multiple factors, including financial circumstances, child custody, and property ownership history.

This guide will explain:
✔ How Indiana’s equitable distribution laws affect homeownership
✔ Factors that determine who stays in the house
✔ What happens if both spouses want the home
✔ Selling vs. buying out the other spouse’s share
✔ How mortgages and debts impact homeownership in divorce
✔ Special considerations for parents with children

📞 Going through a divorce? Contact Vining Legal LLC at (317) 759-3225 or schedule a consultation to protect your financial future.

How Indiana’s Equitable Distribution Laws Impact Homeownership

Indiana is an equitable distribution state, meaning that courts divide marital assets fairly—but not necessarily equally.

🏡 What This Means for the Marital Home:
✔ The house is considered marital property if purchased during the marriage, even if only one spouse’s name is on the deed.
✔ If the home was owned by one spouse before the marriage, the court may still divide increases in value that occurred during the marriage.
✔ Courts consider financial and personal circumstances when determining how to divide the home.

📌 TIP: A judge will not automatically award the house to the spouse whose name is on the mortgage or deed.

Who Gets to Stay in the House During Divorce?

During the divorce process, one spouse may be granted temporary possession of the home, but this does not mean they will keep it permanently.

Factors Courts Consider When Deciding Who Keeps the House

Judges evaluate several factors, including:
✔ Who can afford to maintain the home after the divorce
✔ Who has primary custody of the children (if applicable)
✔ Whether one spouse made significant non-financial contributions (renovations, homemaking, etc.)
✔ Each spouse’s financial situation, debts, and earning capacity

📌 TIP: The spouse who stays in the home must be able to afford mortgage payments, taxes, and upkeep after the divorce.

What Happens If Both Spouses Want to Keep the House?

If both spouses want the home, the court may:

✔ Award the house to one spouse and require them to buy out the other spouse’s share.
✔ Order the home to be sold and split the proceeds.
✔ Grant ownership based on who has primary custody of the children (in some cases).

📌 TIP: If neither spouse can afford the home alone, selling may be the best option.

Options for Dividing the Home in Divorce

1. One Spouse Buys Out the Other

✔ The spouse who wants the house refinances the mortgage in their name.
✔ The other spouse receives their share of the home’s equity.
✔ This option works if one spouse can afford the mortgage and ongoing expenses alone.

📌 TIP: A formal appraisal is often required to determine the home’s value.

2. Selling the Home and Splitting the Proceeds

✔ The home is sold, and the profits are divided between both spouses.
✔ The court may order this if neither spouse can afford to keep the house.
✔ If one spouse refuses to sell, the court can force the sale.

📌 TIP: Selling is often the cleanest option, as it allows both parties to move forward financially.

3. Co-Owning the Home After Divorce

✔ Some couples agree to keep the house as joint owners for a set time period.
✔ This is common when parents want to maintain stability for children.
✔ One spouse may continue living in the home until the children reach adulthood, at which point the house is sold.

📌 TIP: Co-ownership requires a detailed agreement on financial responsibilities.

How Mortgages & Debts Factor Into Homeownership in Divorce

If you want to keep the house, consider these financial factors:

✔ Can you afford the monthly mortgage payments alone?
✔ Will you qualify to refinance the home in your name?
✔ Who is responsible for any outstanding home equity loans or property taxes?

📌 TIP: If you keep the house, remove your ex-spouse’s name from the mortgage to prevent financial liability issues.

Special Considerations for Parents with Children

Judges may allow the parent with primary custody to keep the home to provide stability for the children.

Factors Considered:
✔ The child’s schooling and community ties
✔ Whether relocation would negatively impact the child
✔ Whether the custodial parent can afford to maintain the home

📌 TIP: Keeping the home can benefit children, but only if the custodial parent can financially support it.

How a Divorce Attorney Can Help

Dividing a home in a divorce is complicated—especially when emotions are involved. A divorce attorney can:

✔ Help you negotiate a fair property settlement
✔ Ensure you understand your mortgage and financial responsibilities
✔ Protect your rights if your spouse refuses to cooperate
✔ Assist in court if you need to fight for your share of the home

📞 Concerned about who gets the house in your divorce? Contact Vining Legal LLC at (317) 759-3225 or schedule a consultation.

Conclusion: Protect Your Financial Future in Divorce

The marital home is a major asset, and deciding who keeps it requires careful financial planning and legal strategy. If you’re facing divorce in Indiana, take these steps:

✔ Understand how equitable distribution applies to your home.
✔ Consider the financial impact of keeping vs. selling the house.
✔ Work with an experienced divorce attorney to protect your interests.

📞 Need legal guidance? Contact Vining Legal LLC at (317) 759-3225 or schedule a consultation today.

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