Crafting Court Orders with Real Estate in Mind: Tips for Family Law Attorneys
The language used in court orders can make or break a successful real estate transaction. As a Certified Divorce Real Estate Expert (CDRE®) in Colorado, I’ve seen firsthand how unclear or impractical orders can delay sales, create unnecessary disputes, and even result in financial losses for both parties. While attorneys focus on the legal aspects, a well-crafted order should also reflect the practical realities of real estate transactions.
Here are some key considerations to ensure real estate-related orders are clear, actionable, and aligned with the market.
1. Be Specific About the Timeline
One of the biggest challenges in divorce real estate is timing—when to list, when to accept an offer, and when to close. Vague language like “the home shall be sold as soon as possible” can lead to conflict if one party delays the process. Instead, orders should include:
✔ Listing Deadline: A specific date by which the home must be listed for sale.
✔ Offer Review Period: A timeframe for reviewing and accepting offers.
✔ Closing Expectations: A reasonable window for completing the sale, considering market conditions.
Example: “The marital home shall be listed for sale with a mutually agreed-upon real estate agent no later than [date]. Offers shall be reviewed and responded to within [X] days, and closing shall occur within [Y] days of an accepted contract unless an extension is agreed upon in writing.”
2. Define Who Controls the Sale Process
In many cases, one spouse remains in the home during the sale. Without clear guidance, disagreements over pricing, showings, or repairs can stall progress. Orders should establish:
✔ Who selects the real estate agent (or whether the court appoints one).
✔ How listing price decisions will be made (such as relying on a professional appraisal or market analysis).
✔ How disputes will be handled if one party refuses to sign off on offers or repairs.
Example: “The listing price shall be set based on the recommendation of the appointed real estate professional. If the parties cannot agree on an offer, the agent shall have the authority to accept any reasonable offer within 5% of the list price.”
3. Address Proceeds & Expenses Clearly
How sale proceeds are divided—and who covers costs along the way—should be spelled out in detail to avoid last-minute financial disputes. Consider including:
✔ Payment of mortgage, taxes, and insurance until the home is sold.
✔ Responsibility for repairs or necessary updates to prepare the home for market.
✔ How net proceeds will be distributed (including any reimbursements or offsets).
Example: “The net proceeds from the sale shall be divided [X% to Spouse A, X% to Spouse B] after payment of all outstanding mortgage balances, closing costs, and agreed-upon repairs.”
4. Consider the Market When Setting Deadlines
Real estate markets fluctuate. What worked six months ago may not work today. Rigid deadlines for sale completion or price reductions can backfire if the market slows down. Instead, orders should allow for:
✔ Market-based adjustments to pricing (such as price drops at set intervals).
✔ A neutral third party (like a CDRE or real estate agent) to guide decision-making.
✔ A backup plan if the home does not sell within a reasonable timeframe.
Example: “If no offer is received within 60 days, the listing price shall be reduced by 3%, with further reductions every 30 days until an offer is accepted.”
5. Use Neutral Language to Minimize Conflict
Tensions run high in divorce cases, and court orders should reduce conflict, not create more. Avoid language that can be interpreted as punitive or favoring one party over the other. Instead, focus on clear, neutral, and enforceable terms.
✔ Use professional, fact-based language rather than emotional wording.
✔ Avoid open-ended statements like “the parties shall work together” (which may not be realistic).
✔ Include a mechanism for resolving disputes if disagreements arise.
Example: “If the parties are unable to agree on an offer or necessary repairs, the appointed real estate professional shall have final decision-making authority.”
Final Thoughts
A well-crafted court order should provide clear direction that aligns with both legal and real estate realities. By setting specific timelines, defining roles, and addressing financial details upfront, family law attorneys can help prevent unnecessary disputes and ensure a smoother process for everyone involved.
As a Certified Divorce Real Estate Expert, my role is to bridge the gap between legal strategy and real-world real estate transactions. If you have questions about crafting enforceable, market-aligned court orders, I’m happy to be a resource.
Would you like to discuss how a CDRE can help in your next case? Let’s connect.
