Opening question:
As a Washington family law attorney, should your client sell, refinance, or defer the marital home?
Snippet answer:
Built for family law attorneys, this WA framework stress-tests sell, refi/equity buyout, or deferral so your orders actually fund, record, and close.
Start with the Washington lens
Washington isn’t a mechanical 50/50 state. You’re aiming for a result that’s just and equitable, and that means the real-world logistics matter: loan qual, equity, timelines, tax/transfer mechanics, and risk. My short rule: If it can’t close, it isn’t equitable in practice.
Option 1: Sell now
When it fits: Payments aren’t sustainable, equity is needed to settle, or risk is creeping in (deferred maintenance, HOA special assessments, solar/lease encumbrances, messy permits).
What to put in the order:
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- Possession, access, and personal property spelled out (no move-out standoffs).
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- Preliminary title required early—surface liens/HELOCs/UCCs before you promise numbers.
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- REET affidavit at recording with the correct divorce exemption (yes, even when exempt you still handle the paperwork).
Pro move: Decide who signs what at closing and how you’ll handle last-minute credits, repairs, or rent-backs—write it in.
Option 2: Refi + equity buyout
When it fits: One party wants the home and can qualify.
Financing realities (what underwriters look for):
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- Divorce equity buyouts are often priced like rate/term (not cash-out) when structured correctly—no cash back, proper documentation, and ownership/seasoning met.
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- Some products treat buyouts as special-purpose cash-out with different overlays. Translation: confirm the delivery path (Fannie vs. Freddie) before you promise a rate or timeline.
What to draft:
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- The buyout amount, a refi/assumption deadline, and a sale fallback if the deadline is missed.
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- Who pays closing costs and the lien release mechanics for the departing spouse.
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- Required milestone proofs (application date, conditional approval, clear-to-close).
Heads-up: Support paid/received can help or hurt qualifying. Anchor your timeline to how that income/debt will be counted.
Option 3: Defer with guardrails
When it fits: Neither party can qualify today, or timing the market makes sense. Deferral without structure is a slow-burn disaster; with structure, it buys time without bleeding equity.
What to draft so it doesn’t backfire:
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- Occupancy terms; who pays PITI/HOA/insurance/taxes; and maintenance standards.
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- Access/inspection rights and a modest repair reserve for capital items.
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- Automatic triggers to sell (payment default, missed refi deadline, relocation, or a date certain).
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- Who signs the eventual conveyance and how you’ll handle REET paperwork on that later transfer.
Washington-specific speed bumps (check these every time)
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- REET & divorce transfers: Use the correct exemption on the affidavit; don’t assume “exempt” means “ignore the form.”
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- Due-on-sale safe harbor: Transfers incident to divorce typically won’t trigger acceleration—but you still need to plan for assumption or refi to clear liability.
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- Homestead context: Washington’s homestead backdrop can shape creditor exposure during deferrals—add it to your risk scan.
Quick checklist for your file
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- Prelim title, mortgage statements, payoff and HELOC ledgers, HOA estoppel/payoff, permits, solar/lease docs.
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- Decide sell vs. refi vs. defer based on loan feasibility, equity math, and timeline risk—not hope.
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- Write the decree like a closing checklist: who signs, who pays, what happens if X misses Y.
Final takeaway
You’re not just dividing a house—you’re engineering a result that closes. Pick the path, draft like it must fund and record, and partner with a local Certified Divorce Real Estate Expert to keep your case moving with fewer surprises.
Join my October 2025 Family Law Divorce Class on October 30, 2025, 12:00–1:00 PM (online via Zoom).
Link below to register!
Written for you by Reba Haas of Team Reba of RE/MAX, REALTOR® & Certified Divorce Real Estate Expert, serving Greater Seattle, WA since 2003.

