Perhaps two spouses decide to get divorced in 2024. They must still legally file their 2023 tax return as a married couple. They may also file jointly, which may yield a bigger standard deduction along with access to tax credits that spouses who file separately might not be able to take advantage of.
Moving forward, individuals who get divorced this year can use the head of household tax filing status for 2024 if they remain unmarried the entire year and their former spouses do not live with them during the final half of the year. They must also cover more than 50% of the cost of keeping up their homes in 2024 and have their dependent children live with them for over 50% of the year. This status provides a bigger standard deduction than what is available for single filers. The deduction is $20,800 for 2024 versus $13,850 for 2023.
A family law attorney in Texas can help an individual make educated decisions regarding how to file their taxes after divorce and navigate other aspects of divorce finances. For instance, the attorney can help him or her decide how to divide real estate, cars and household debt. The attorney will strive to ensure that a client’s best interests and rights are protected during each phase of the divorce proceeding.
]]>Austin holds great promise for real estate in 2024, as the region has one of today’s biggest groups of returning home buyers. If the interest rate drops 6.5%, more than 5% of Austin’s households should be able to afford median-priced homes. Many Millennials making more than $100,000 annually are moving to Austin, which may fuel significant local market growth.
Dallas is another top Texas city with a positive real estate outlook. Among America’s 100 biggest metro areas, Dallas’s job market ranks number two when it comes to how fast it is growing. The city in 2023 created more than 4% in additional positions compared with the prior year. Housing activity is expected to increase in Dallas as the mortgage rate falls in 2024.
An individual planning to purchase real estate in Texas would be wise to partner with a real estate attorney as soon as possible. An attorney can help with both residential and commercial property purchases and sales. An attorney may also assist in reviewing and drafting a commercial lease for a tenant and landlord, as well as handling estate planning for a property purchase. The attorney will strive to ensure that his or her client’s best financial interests are protected during every phase of a real estate transaction.
]]>A married couple getting divorced may sell their marital home and divide the profits. Another option for handling the family home is for the two parties to maintain their joint mortgage on the home and treat it like an investment home, which may mean renting it out to vacationers or longer-term tenants. The third option is to let one party keep the house and mortgage while his or her future ex-spouse receives other assets instead.
The spouse who decides to keep the mortgage would be wise to assess their monthly budget to determine if they can afford it. In addition to paying the mortgage, that individual will have to pay property taxes and maintenance costs. It is recommended for a homeowner to spend no more than 27% of their gross monthly earnings on housing costs and 35% or less on all debt payments, including the mortgage.
An individual in Texas going through a divorce may want to hire a family law attorney as soon as possible. A family law attorney can help him or her determine whether to pursue the family home or other assets, such as money and antiques, as part of the property division process. The attorney will push for the most personally favorable outcome for his or her client given the circumstances surrounding the marital breakup.
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