Selling A Long Beach Home During Divorce

Divorce is hard enough without guessing what to do with your home. If you own a property in Long Beach, your decisions about selling, refinancing, or buying out a spouse also carry legal, financial, and timing consequences. This guide walks you through the local process so you can protect your equity, avoid delays, and move forward with clarity. Let’s dive in.

Start with the legal framework

Community property basics

California presumes that property acquired during marriage is community property, which the court divides equally in a divorce or legal separation. That means home equity is usually split 50-50 unless you both agree otherwise or a valid separate property claim applies. You can read the statute at California Family Code section 760 for the baseline rule on community property. See Family Code §760

The court’s role in sale decisions

Property division is handled in family court. If you and your spouse cannot agree about selling or keeping the home, the judge can decide how to divide the asset and can issue orders to carry out a sale. Los Angeles County’s family court resources emphasize full financial disclosure and that property division can be addressed in the judgment or later if the court keeps jurisdiction. Review LA family court guidance

Standard restraining orders after filing

Once a divorce case is filed and served, California’s standard family law restraining orders go into effect. These orders restrict either spouse from transferring, hiding, or encumbering property except for ordinary living needs. Title and escrow companies usually require both parties or a court order for any sale while a case is pending. Violations can lead to sanctions. Learn about the restraining orders

If one spouse will not agree to sell

You usually cannot use a partition lawsuit between spouses during a divorce to force a sale of community property. Family court oversees the division instead. If a signature is withheld or one spouse refuses to cooperate, the judge can still order a sale as part of the divorce judgment. See the partition statute context

Sell vs. buyout: choosing the best path

How to value the home fairly

• Appraisal. A licensed appraiser provides a formal, USPAP-compliant opinion of value. Lenders and courts tend to rely on this. In a contested divorce or a buyout, an appraisal reduces disputes.
• CMA or BPO. An agent’s comparative market analysis helps set list price and marketing strategy. It is faster and cheaper, but not a substitute for an appraisal if you expect disagreement.

If a buyout is on the table or you anticipate pushback on price, plan for at least one independent appraisal. What appraisals cover

Keeping the home: refinance or assumption

If one spouse keeps the home, the usual path is to refinance the mortgage into that spouse’s name and remove the other spouse’s liability. Some loans allow assumptions, and a servicer may consider a release of liability, but the remaining borrower must qualify. Servicer rules vary, and approvals are not guaranteed. Read Fannie Mae’s overview of transfer and assumption issues

Timing matters. A refinance or assumption can take weeks to months depending on underwriting and whether your settlement needs to be finalized first. Start lender conversations early so timelines do not stall your case. What to expect with timing

Selling now: when it makes sense

A clean sale can simplify the divorce, especially when:

• Monthly costs make holding the home stressful.
• A refinance would be hard to qualify for, or rates would make the payment unrealistic.
• Equity is significant and both parties want cash to reset housing.

In a neutral listing, you agree on pricing, repairs, and acceptance rules in writing. If conflict is likely, build detailed sale terms into your marital settlement agreement so the court can enforce them if needed.

Long Beach market factors that influence your choice

Long Beach neighborhoods vary widely in price and speed. Recent market snapshots show a typical Long Beach home value around the low to mid $800,000s, but local medians can swing higher or lower by neighborhood and even by block. Areas like Bixby Knolls often post higher medians, while some central and North Long Beach pockets may be lower. Waterfront proximity, lot type, and transit access can change value and days on market.

Why this matters:

• Higher-price areas. A buyout can require larger cash or loan capacity. Plan for careful budgeting and tax planning.
• Mid-price areas. Broader buyer pools can support a faster sale and cleaner split of proceeds.
• Time sensitivity. Carrying costs and rate trends may favor selling sooner rather than later.

Ask your agent for a fresh CMA and, if needed, an independent appraisal to confirm value for your exact micro-market before you set strategy.

Timeline and checklist for a smoother sale

A practical sequence

1. Market check and CMA. Start with a quick CMA to set expectations and guide your decision on buyout vs. sale. If a dispute is likely, order a formal appraisal. Why the appraisal matters

2. Decide on the path. If one spouse will keep the home, begin refinance or assumption underwriting right away. Plan for 30 to 90 days or more depending on the servicer and documentation. Refinance vs. assumption overview

3. Prepare for market. If listing, agree on pre-list repairs, staging, photography, and pricing guardrails. Decide how you will handle offers and counters.

4. Disclosures and escrow. Provide required seller disclosures before acceptance when they apply. Once in escrow, your title and escrow team coordinates payoff, transfer tax, and recording. A standard escrow often runs 30 to 45 days, subject to contingencies.

5. Close and distribute proceeds. Net proceeds pay liens and closing costs first. Your settlement should state how to split net funds, handle any tax items, and manage holdbacks for disputes or repairs.

Who should be on your team

• Family law attorney. Handles restraining orders, settlement language, and court filings. LA family court resources
• Neutral, divorce-competent listing agent. A Certified Divorce Real Estate Expert can help manage communication and documentation for both sides. About CDRE training
• Mortgage specialist with divorce experience. Advises on refinance or assumption and preps you for underwriting. Loan transfer pointers
• Independent appraiser. Provides a defensible opinion of value if you expect a buyout or contested price. Appraisal standards
• Financial or tax advisor. Models buyout math and tax implications, including the home sale exclusion. IRS Publication 523

Disclosures, escrow, and taxes to plan for

California seller disclosures

For most 1 to 4 unit residential sales, California requires a Transfer Disclosure Statement and related forms. These typically must be delivered before the buyer accepts the offer, and late delivery can create cancellation rights. Some transfers between spouses in a dissolution are exempt from the statutory form, but common law disclosure duties still apply. Read Civil Code §1102.1 timing rules

Escrow, title, and transfer tax in LA County

Escrow handles the payoff of liens, title insurance, and recording. Documentary transfer tax is collected at recording. Los Angeles County levies a county transfer tax, and a limited number of cities add their own city tax. Confirm whether any Long Beach-specific charge applies at the time you sell. LA County transfer tax guidance

Tax planning tips

The timing of your sale and your filing status can change your tax outcome. Married couples who meet use and ownership tests may qualify for a $500,000 exclusion on gain. After divorce, each single filer may qualify for up to $250,000 if the tests are met. Transfers between spouses or incident to divorce are generally nonrecognition events, but later sales can trigger gain calculations. Always confirm details with a tax pro. See IRS home sale rules and examples

Settlement language to get right

Clear settlement terms reduce stress and keep your transaction moving. Work with your attorney to include:

• Who chooses the list price, price changes, and acceptance of offers.
• Who pays for repairs, staging, and escrow or title services.
• How net proceeds are split after liens and closing costs, and when escrow holdbacks apply.
• Deadlines and remedies if a buyout spouse does not refinance on time.
• Who is responsible for any capital gains tax or for consulting tax counsel.
• A promise to make all required disclosures and to indemnify the other spouse for disclosure failures.

If a dispute arises, the family court can enforce these provisions. Why court orders matter during a sale

Common pitfalls and how to avoid them

• Listing without court-aware paperwork. Use a neutral listing process and spell out decision rights to avoid last-minute conflicts.
• Waiting to start the refinance. If one spouse plans to keep the home, begin lender conversations early to set realistic deadlines. Refinance vs. assumption basics
• Skipping a formal appraisal. In a contested case or buyout, an appraisal can save time and legal fees. Why an appraisal is defensible
• Delivering disclosures late. Late statutory disclosures can give the buyer an easy exit. Disclosure timing overview
• Ignoring transfer taxes and fees. Build them into your net sheet so there are no surprises at closing. LA County DTT reference

How we help divorcing sellers in Long Beach

You deserve a steady hand and a clear plan. Our team brings deep Long Beach market knowledge, divorce-specific training, and a process that keeps both parties informed. We coordinate neutral pricing, transparent reporting, and on-time disclosures. We also work smoothly with your attorney, lender, and appraiser so your sale stays on track.

Ready to understand your options and your home’s value today? Reach out to The Elmer Team for a confidential consultation and get your instant home valuation.

FAQs

Can one spouse sell a Long Beach home without the other’s consent during divorce?

• Not usually; standard restraining orders and title rules mean you need both signatures or a court order, and family court can issue orders to complete a sale if someone refuses to cooperate.

What is the difference between an appraisal and a CMA for a divorce sale?

• A CMA helps set list price and strategy, while a licensed appraisal provides a lender and court-accepted opinion of value that is better for buyouts or contested valuations.

If I keep the home, do I have to refinance to remove my ex from the loan?

• In most cases you should refinance or obtain an approved assumption with a lender release, since a marital settlement alone does not remove the other borrower’s liability.

How long does a refinance or loan assumption take during a divorce?

• Expect several weeks to a few months depending on the servicer, underwriting, and whether you need a final settlement or court order before the lender will proceed.

What taxes apply if we sell our Long Beach home before our divorce is final?

• If you file jointly and meet the tests, you may qualify for a $500,000 home sale exclusion; after divorce, each single filer may qualify for up to $250,000, so confirm timing with a tax advisor.

What seller disclosures are required in California for a divorce sale?

• Most sales of 1 to 4 units require the Transfer Disclosure Statement and related forms delivered before acceptance, unless a specific statutory exemption applies.

What happens if our home is underwater during divorce?

• Options include a negotiated short sale with lender approval, a deed in lieu, or one spouse retaining the home and working with the lender; each option has credit and tax impacts.