Question of the century!

[Kingcarrera]

What is the name of your state? NY
My wife and I are fileing for divorce. before we were married we bought a home. She wrote a check for 40k including the closing costs. I put in nothing. she was on social security and I was a power earner.Everything went into one account. Recently I found out that nothing has been paid except the casino. 4500 in 10 days. Anyways am I entitled to 1/2 the equity in the house under the assumption of "gifted" money towards the marital home? We are BOTH on the deed, but the mortgage is in my name. your thoughts???

[LdiJ]

Originally Posted by Kingcarrera

What is the name of your state? NY
My wife and I are fileing for divorce. before we were married we bought a home. She wrote a check for 40k including the closing costs. I put in nothing. she was on social security and I was a power earner.Everything went into one account. Recently I found out that nothing has been paid except the casino. 4500 in 10 days. Anyways am I entitled to 1/2 the equity in the house under the assumption of "gifted" money towards the marital home? We are BOTH on the deed, but the mortgage is in my name. your thoughts???

You are each entitled to 1/2 of the equity because you are both on the deed...you are both equal owners of the property.

However, bear in mind that you are also both equally entitled to 1/2 of any other assets that accrued during the marriage, which include IRAs and 401ks, stock and bonds, bank accounts, cars and any other assets. You are both also equally responsible for any debts that accrued during the marriage.

[Kingcarrera]

How SURE of this are we? I was told that since the mortgage was originaly taken out for 135,000 and is currently at 132 and change that there is only 2000 + in equity that must be split. Of coarse this was from her, not an attorney. I think that the money was given as "this will get us started" but because of her gross negligence of "disipation of marital funds" etc.. that you may be correct...

[JustAPal00]

What is the value of the house now? Not what is the original loan amount. Take the current MARKET VALUE and deduct the payoff, that will give you the equity. You get half! Then add up your retirement, and she gets half! Addd up all other equity and deduct all other debt, you each get half!

[Ohiogal]

Originally Posted by Kingcarrera

How SURE of this are we? I was told that since the mortgage was originaly taken out for 135,000 and is currently at 132 and change that there is only 2000 + in equity that must be split. Of coarse this was from her, not an attorney. I think that the money was given as "this will get us started" but because of her gross negligence of "disipation of marital funds" etc.. that you may be correct...

How do you believe she dissipated marital funds? Were you aware that she gambled?

[Kingcarrera]

First of all house is valued at 170,000. I was aware that she gambled we used to go together if we had "extra money" after what I assumed when all the bills were paid. The mortgage has not been paid in 4 months, so I opened the mail for her personal account. She had withdrawn 10k from her annuity, paid of 1400 in bils and spent the rest at the casino over a period of 10 days. I called her out on this. She said I did not. Then the casino left a message about her earning a free item for her recent level of play. LOL. EVERYTHING is in my name and she hasnt been home in 5 weeks. Im drowning fast, any other suggestions? I am working feverishly with all creditors but time is running out.

[Bali Hai]

Originally Posted by JustAPal00

What is the value of the house now? Not what is the original loan amount. Take the current MARKET VALUE and deduct the payoff, that will give you the equity. You get half! Then add up your retirement, and she gets half! Addd up all other equity and deduct all other debt, you each get half!

NYS is an "equitable distribution" state, and, the judge will decide who gets what and it may not be even close to half.

[Bali Hai]

Originally Posted by Ohiogal

How do you believe she dissipated marital funds? Were you aware that she gambled?

I agree, only gambling husbands are subject to dissipation of marital funds for gambling away the wifes half.

[Ohiogal]

Originally Posted by Bali Hai

I agree, only gambling husbands are subject to dissipation of marital funds for gambling away the wifes half.

That wasn't my point. He KNEW she gambled and consented to it. Therefore it may not be considered dissipation.

[Kingcarrera]

So, what all this means to me, is that I have a chance of getting absolutely nothing, except being stuck with all the bills abd credit card debt that was rung up, and she walks... This is rediculous. Doesn't she get held accountable for anything??? She had the money to pay off the bills and chose to go gambling instead, now the house is close to getting foreclosed on, there is 16,00+ in credit card debt,not to mention that everything else is in arrears and now Im screwed for giving her every dime of my checks every week? How is this even sensible? Im going to end up screwed and she is going to walk, is that the gist of this?

[LdiJ]

Originally Posted by Kingcarrera

So, what all this means to me, is that I have a chance of getting absolutely nothing, except being stuck with all the bills abd credit card debt that was rung up, and she walks... This is rediculous. Doesn't she get held accountable for anything??? She had the money to pay off the bills and chose to go gambling instead, now the house is close to getting foreclosed on, there is 16,00+ in credit card debt,not to mention that everything else is in arrears and now Im screwed for giving her every dime of my checks every week? How is this even sensible? Im going to end up screwed and she is going to walk, is that the gist of this?

No, it doesn't mean that at all.

The house is worth 170k. The mortgage balance is 132k. Now assuming that the house actually appraises for 170k, or can actually sell for 170k, you are each going to get about 19k in equity from the home. You will each be entitled to 1/2 of any other assets out there that accrued during the marriage, and you will each be responsible for 1/2 of the marital debt.

Or, in the alternative you can sell the home, and use the proceeds first to retire any marital debt, and then divide the proceeds....then divide other assets.

Or, if you have a substantial 401k, you might keep that in exchange for taking on all of the marital debt (which might be wiser since you might not be able to count on her to actually pay her half).

The bottom line is that you figure out each person's share of the assets, and each person's share of the debts, and then you each divide everything so that you each get your fair share, but you divide the individual items based on what is financially the wisest thing to do.

She might get the house and no debt, and you might get the debt and your entire 401k, if that adds up to the two of you netting the same total amount of net cash or equity.

Example: When my ex and I split up, we had a house with no equity (just purchased it) a car with no equity (just purchased it and he drove a company car) about 16k in savings, and about 16k in debt.

I kept everything and he walked with nothing. However, my "net" was also nothing....so it was an "equitable distribution".

[Kingcarrera]

OK! I understand all that. so how do I handle her removing EVERYTHING from the house, even things that were mine, before we wed? She has removed things that I do NOT have receipts for, but do have pictures of. She has also removed everything that we purchased while married. How do I "fight" to get those back, or do I just simply keep a running tally of missing things and their replacement prices? What do I do now?

[LdiJ]

Originally Posted by Kingcarrera

OK! I understand all that. so how do I handle her removing EVERYTHING from the house, even things that were mine, before we wed? She has removed things that I do NOT have receipts for, but do have pictures of. She has also removed everything that we purchased while married. How do I "fight" to get those back, or do I just simply keep a running tally of missing things and their replacement prices? What do I do now?

If the items themselves are important to you, then you fight for those items. Otherwise, you keep the "tally"....but not at replacement price value, but rather at actual value. If she took a 10 year old TV (for example) you aren't going to get credit for a brand new one.

[Kingcarrera]

The vehicles. She put 15,000 down on a brand new car. I co-signed the loan. This was before we were married. Am I entitled to 1/2 the value of the vehicle. Also my vehicle was purchased with 1/2 my money and 1/2 hers (no receipt for her money) but I did receive a check from Allstate. Whats gicves with this

[LdiJ]

Originally Posted by Kingcarrera

The vehicles. She put 15,000 down on a brand new car. I co-signed the loan. This was before we were married. Am I entitled to 1/2 the value of the vehicle. Also my vehicle was purchased with 1/2 my money and 1/2 hers (no receipt for her money) but I did receive a check from Allstate. Whats gicves with this

You each are going to get the car that you are currently driving. If one car has significantly more equity than the other, then that adjustment would go into the pot to be divided.