property Can someone be forced to lower the sale price of their house?

[James]

In a UK divorce, one spouse cannot directly force the other to lower the asking price of a jointly owned house.

• Mutual Agreement Preferred
  • The courts in the UK generally encourage divorcing couples to reach a mutually agreeable solution regarding the sale of the marital home whenever possible.
• Court Intervention
  • If an agreement can't be reached, either spouse can apply to the court for a Property Adjustment Order. This order can include forcing the sale of the house.
• Court's Decision on Price
  • The court doesn't directly set a forced sale price. However, they will consider factors like market value, outstanding mortgage, and a fair division of assets when determining if a sale is necessary and dividing the proceeds.

While the court can't dictate the asking price, they can influence the outcome by potentially ordering a sale that reflects a realistic market value.

[Noah W]

The court can indirectly influence the final sale price through the forced sale process

• Forced Sale Order
  • If an agreement on selling the house isn't reached, the court can order its sale to achieve a fair financial division
    • https://watsonmorrisfamilylaw.co.uk/
• Market Value Matters
  • The court considers a realistic market valuation during the proceedings. This valuation becomes a benchmark for the sale. 
    • https://www.mediateuk.co.uk/complete-guide-to-divorce-mediation/
• Unsold House Delays and Costs
  • An overpriced house will likely sit on the market unsold, incurring additional costs and delaying the financial settlement. This can put pressure on both parties to reach a more realistic price.

While the court doesn't dictate the price, the situation can nudge the sale price closer to market value

• A prolonged delay due to an unrealistic price might lead both parties to accept a lower offer to finalize the sale.
• The judge might express disapproval of an excessively high asking price during the proceedings.

Alternatives to Consider

• Negotiation and Mediation: Reaching a mutually agreeable price through negotiation or mediation is generally preferred by the courts
  • https://watsonmorrisfamilylaw.co.uk/
• Alternative Orders
  • In some cases, the court might consider alternative orders, such as
    • Mesher Order: This delays the sale until a specific event, like a child reaching adulthood.
    • Martin Order: One spouse gets to stay in the house for a set period or until remarriage, while the other receives compensation.

Consult a lawyer specialising in family law as they can guide you through the process, explain your options, and ensure your rights are protected.

Hope this helps 🙂