Canadian Lawyer

20 M A R C H 2 0 1 8 w w w . C A N A D I A N L a w y e r m a g . c o m hile venturing out into the real estate market to purchase a new home may seem like a construc- tive way to start life anew after a marital split, a series of land- mines await the unwary divorced per- son. Until all the issues between the two splitting parties are resolved and they have a signed separation agreement in hand, a separating spouse could face some serious repercussions when buy- ing another home too quickly. The legal risks could be driven or further complicated by state of mind. Divorce and separation are often so emotionally charged that common sense, which might normally be in great supply, could be elusive for some, says St. Catharines, Ont. family lawyer Sha- ron Silbert. A splitting spouse may rush into a real estate deal without realizing the implications their family law case might later have. What looks like a simple real estate transaction could quickly deteriorate into a messy web of complications. "I think it's important for us to remember that individuals who are going through a separation or divorce are for the most part dealing with an extremely high level of stress and change in their lives and there are many decisions they need to make, sometimes in a relatively short period of time," she says. "I think it's incumbent on us as professionals to do what we can to educate our cli- ents about the kinds of decisions they may need to make while they're going through the separation process and the importance of taking things one step at a time and making sure that the live issues in their family law matter are settled before they're incurring any new financial obligations." The purchaser may not have been forewarned by the real estate agent or even the banker when they sought pre- approval for a mortgage that a separa- tion agreement is required before the mortgage can be approved. They can find themselves high and dry at the 11th hour if they've signed a binding agreement only to discover that they can't access the cash to close the deal. Don Travers, a real estate lawyer with Paquette Travers in Kitchener, Ont., has seen varying twists of the same problem. "They just assume they're going to get 50 per cent of the matrimonial home," he says. "They go to buy another home and then they find out that their spouse isn't agreeable to that 50-50 and, if they're not agreeable, then the sale proceeds have to be held in trust until R E A L E S TAT E By Marg. Bruineman W DUSHAN MILIC Splitting the family home Buying a home in the midst of a divorce can become a legal landmine

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