Deciding what to do with the house is one of the biggest money decisions in a divorce. If you need to sell a house during divorce in Indiana, it helps to know how courts usually treat the marital home, who has to sign, and how a sale fits around the court’s timeline.
This page is general information, not legal advice. Each spouse should have their own Indiana family law attorney look at the details before anyone signs a contract.
How Indiana courts look at the marital home
Indiana calls divorce a “dissolution of marriage.” When the court divides property, it starts with almost everything either spouse owns: property owned before the marriage, property acquired during it, and property built up together (IC 31-15-7-4).
The court presumes an equal split is fair, but either spouse can bring evidence that it isn’t (IC 31-15-7-5). One factor the law lists is whether the spouse who has custody of the children should get the family home, or the right to live there for a while.
So even if only one name is on the deed, the house is usually part of the conversation.
Common ways couples handle the house
Indiana law gives judges several ways to divide property. They can set it over to one spouse and order a payment to the other, or order it sold and split the money (IC 31-15-7-4). Most couples end up with one of these:
| Option | How it works | Things to think about |
|---|---|---|
| Sell and split | The house sells, the mortgage and costs are paid, and what’s left is divided under your agreement or court order. | You both have to agree on price, timing and who handles what. |
| One spouse buys the other out | One spouse keeps the house and pays the other for their share. | It often means refinancing so the other spouse is off the mortgage. Talk to a lender early. |
| Keep it for now, sell later | One spouse stays for a set time, often with the kids, and the house sells later. | You both stay tied to the house. Your agreement should say who pays the mortgage, taxes and insurance. |
| Court-ordered sale | If you can’t agree, a judge can order the house sold on terms the court sets. | You have less control over price and timing. |
Why both spouses usually have to sign
If both names are on the deed, both spouses have to sign to sell. That part is simple.
It’s less simple when only one name is on the deed. The house can still be marital property. Once a case is filed, either spouse can ask the court for a temporary restraining order that stops anyone from transferring or disposing of property outside the usual course of business (IC 31-15-4-3).
Title companies know this. Before they close a sale during a divorce, expect them to ask for both spouses’ signatures, or a court order or decree that says who can sign. Trying to sell around your spouse can backfire, so talk to your attorney before you sign anything.
When to sell the house during your Indiana divorce
Indiana has a built-in waiting period. A final hearing can’t be held sooner than 60 days after the petition is filed (IC 31-15-2-10). If you agree on everything, the court can enter a summary decree without a final hearing, but still not before that 60-day mark (IC 31-15-2-13).
That leaves a few timing choices:
- Sell before the decree. Both of you sign, and the money is held or split the way your attorneys arrange in writing.
- Sell as part of the decree. Your settlement says the house will be sold, often with a deadline and a plan for the money.
- Sell after the decree. You follow the decree’s instructions.
A cash sale doesn’t wait on a buyer’s lender or appraisal, so timing mostly comes down to title work. You pick the closing date. That makes it easier to close after a hearing, or by a deadline in your agreement.
Keeping the sale neutral
Divorce sales go smoother when nobody feels the other side was told something different. A few things help:
- One written offer for both of you. We can send the same offer to both spouses, or both attorneys, at the same time. Same numbers, same terms.
- Everything in writing. The price, the closing date and who pays which closing costs are spelled out before anyone signs. There are no agent commissions and no fees charged by us.
- No showings. Nobody has to keep the house spotless, and the spouse still living there doesn’t have to clear out for open houses.
- No repair fights. We buy as-is, so there’s no arguing over who pays for the roof or the furnace.
- No forced cleanout. Agree in writing on who takes what. Anything left behind can stay.
- Paid at closing. A local title company handles the closing and pays out the money the way both of you, or the court, direct in writing.
You can walk away from our offer, get other offers, or have your attorneys review it first. We encourage that.
When a cash sale fits, and when it doesn’t
A cash offer is below full retail. We look at the house’s condition, the repairs it needs, recent sales of similar homes nearby, and the costs we’ll carry. If your house is in good shape and you can both cooperate through a few months of listing, an agent may net you more. Our cash buyer vs. agent comparison walks through the trade-offs.
A direct sale tends to make more sense when:
- The house needs work and neither of you wants to pay for it.
- One spouse has moved out and the house is sitting.
- The mortgage is hard to cover on one income. If you’ve fallen behind, see selling a house facing foreclosure.
- You need a firm closing date to match your agreement.
Wondering what the house is worth in its current shape? Our guide to what a Gary house is worth as-is explains how buyers look at it. If you’re working through a divorce house sale in Lake County, we buy in Gary, Hammond, Merrillville and across Lake County.
Questions to bring to your attorney
Your attorney is the right person for the legal details. These questions can help you start that conversation:
- Is there a court order right now that limits selling, refinancing or borrowing against the house?
- Should we sell before the decree, as part of it, or after?
- Where will the sale money be held until the split is final?
- Who pays the mortgage, taxes, insurance and utilities until closing?
- What happens if one of us won’t sign?
Taxes are a separate question. IRS Publication 523 covers home sales, including some rules that apply to divorce. A tax professional can tell you how a sale affects each of you.
Before you sign with any buyer, it’s worth reading how to spot a legit cash home buyer.
