How to Split the House in an Oregon Divorce

Real property includes a primary residence, second home, vacation home, commercial property, investment property, undeveloped land, or a timeshare, together with the structures on it.

Division of real property in Oregon starts with a presumption that both spouses contributed equally to property acquired during the marriage and must result in a division that is “just and proper in all the circumstances” under ORS 107.105.

In divorce mediation, my clients commonly choose to sell the property, have one party retain it in exchange for cash or other assets of similar value, delay the sale until a certain date with one party occupying it in the meantime, or continuing to co-own it as a rental income property.

By Mediator Matthew House, J.D.

About the Author

I am an Oregon divorce mediator and family law financial analyst with 21 years of experience. I have provided family law commentary in media outlets across 24 states. I passed the Oregon Bar Exam in 2005 but am not a member of the Oregon State Bar and do not practice law; my professional role is 100% neutral. I do not provide legal advice.

I am a Premium Member of Mediate.com and a member of the Oregon Mediation Association. I have written articles and provided interviews for media outlets in 24 states from coast to coast, including five appearances on KATU’s A.M. Northwest in Portland.

At a Glance

Oregon law allows property to be divided in a way that fits the specific financial and practical circumstances of both spouses, rather than requiring an automatic 50/50 split. In mediation, the parties are free to agree to any property division that can be adequately expressed in writing, as long as it does not conflict with any other provision of the law or any restriction that is attached to the particular property itself.

Most of my mediation clients resolve the ownership of real property through one of four approaches, all of which are allowed under ORS 107.105:

1) One spouse keeps the real property; the other spouse receives cash or other assets of similar value.
2) The property is sold.
3) Both spouses retain temporary co-ownership until a defined date or event.
4) The parties continue to co-own the property as an investment.

This article discusses those options in greater detail. Each comes with distinct financial, legal, and timing considerations. What seems ideal at first may prove more problematic than it initially appeared. As a detail-oriented mediator with legal and financial expertise, I'll help you consider your decisions thoroughly and document them meticulously.

The Role of Mediation

I frame the discussion of real property as a collaboration between the couple and the well-trained mediator to resolve those important questions. Resolving the ownership of real property in an Oregon divorce involves balancing the parties' preferences, legal constraints, lender requirements, and financial realities.

Mediator's Role

I frame the discussion of real property as a collaboration between the couple and the well-trained mediator to resolve those important questions. Resolving the ownership of real property in an Oregon divorce involves balancing the parties' preferences, legal constraints, lender requirements, and financial realities.

Because I have a degree in law and substantial training in divorce finance, I am especially well positioned to assist clients who own real property. I will help you apply the right information, understand the relevant documents fully, give appropriate attention to the many factors that deserve consideration, and think about how each decision will affect other decisions in the case.

Your Role as a Mediation Client

You are hiring me to know the law, your financial options, and the practical ramifications of those alternatives. However, you remain the experts on your concerns, goals, preferences, and questions. For example, you know better than I do whether you really want to own real estate, even if you can afford to do so. Likewise, you are uniquely positioned to tell me whether you believe you have the time, expertise, and desire to manage the requirements of the ownership of real property.

As we discuss real property in mediation, please keep in mind that the information I provide to you from my training and 21 years of experience with over 1,000 families cannot replace what you know about yourself and your own family.

Conclusion

This article is intended only as a general overview. No information contained herein or on any other page of 503.legal should be construed as legal advice or financial advice.

Next Steps

The options above are presented in the order of their popularity among my clients in the past 21 years. However, what works for some people—or most people—may not be ideal for you. Every family is unique, and every person’s needs deserve careful consideration.

If you would like to discuss mediation in the context of your particular needs, please consider scheduling a consultation with me.

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