Five years ago, divorcing couples would battle over splitting property, much like they do today. Only today they are battling over different things. Today's divorces in Michigan are less inclined to involve property division battles over a couple's once shared home as they did before the housing market collapse. This can complicate property and debt division.

Before, houses were seen as the most prized asset in a divorce, and if one spouse could afford the house, they were lucky to receive it in the settlement. Now, couples whose mortgage payment is more than their home is worth would prefer not to own the home after the divorce.

The home can come with too much risk when it isn't worth what a person owes. To deal with a mortgage in a divorce, refinancing might be a low risk option. Sometimes, however, one spouse might not qualify to refinance on their own. Maintaining the mortgage with both spouses' names on the paperwork can be extremely risky, especially if one spouse just stops paying. The other person would be forced to pay the other half or risk default.

Another option to help with refinancing could be to seek out a cosigner, although this may be hard because often cosigners don't benefit, they just assume unnecessary risk. With today's economic situation for most families, property division in Michigan might involve less division and more selling.

Selling the house might be the best option if neither spouse can or is willing to assume the mortgage obligation. However emotional selling the family home might be, this might be a good route to consider based on your individual situation and the situation of your soon to be ex-spouse.

Source: NASDAQ.com, "How to divorce your mortgage," Marcie Geffner, Jan. 26, 2012