A couple is getting divorced.
The wife will take ownership of a black car, and the husband will take ownership of a blue car.
Both vehicles are valued at $10,000.
The black car is paid off and has no debt.
The blue car has a loan of $14,000
Assuming that both individuals want to keep their cars. How does the couple equalize the equity and debt of the vehicles?
Here are my thoughts on this.
The wife would have to pay the husband $12,000 to equalize. $5,000 from the positive equity from her vehicle, and $7,000 from the half of the debt she is responsible for from the husband's car.
The wife will take ownership of a black car, and the husband will take ownership of a blue car.
Both vehicles are valued at $10,000.
The black car is paid off and has no debt.
The blue car has a loan of $14,000
Assuming that both individuals want to keep their cars. How does the couple equalize the equity and debt of the vehicles?
Here are my thoughts on this.
The wife would have to pay the husband $12,000 to equalize. $5,000 from the positive equity from her vehicle, and $7,000 from the half of the debt she is responsible for from the husband's car.
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