Rental Property In An Illinois Divorce - Russell D. Knight

BSPE Legal Marketing Podcast

From Law Office of Russell D. Knight - In this episode, we delve into the intricacies of handling rental property in the context of an Illinois divorce. 'Rental Property In An Illinois Divorce' explores the challenges and legal considerations involved when a rental property is part of the marital assets. We discuss the critical first step of determining whether the property is marital or non-marital according to Illinois law (750 ILCS 5/503), which is essential for the subsequent division of assets.

We examine cases such as In re Marriage of Siddens and In re Marriage of Schmitt, shedding light on how rental income is treated and the importance of keeping rental properties separate from the marital estate. The episode also touches on the complications that can arise from non-marital properties becoming marital properties through commingling, as seen in In re Marriage of Olson. Understanding these distinctions is crucial for ensuring fair property division and safeguarding individual assets.

Additionally, we discuss the potential impacts on child support and maintenance, particularly how rental income factors into these calculations under the Illinois child support statute. The episode explains why expenses like accelerated depreciation are excluded when determining net income for child support and maintenance purposes. This nuanced understanding helps listeners grasp how income from rental properties can influence financial obligations post-divorce.

Finally, we address the practical aspects of managing rental property during and after a divorce. The episode covers the potential for maintaining joint ownership, creating corporations or LLCs for property management, and the importance of incorporating clear buy-out clauses in the Marital Settlement Agreement. For those navigating a divorce involving rental properties, this episode provides valuable insights and guidance to help ensure a fair and equitable resolution.
Law Office of Russell D. Knight
1165 N Clark St #700, Chicago, IL 60610, United States
[phone]
https://www.google.com/maps?cid=13056420905624162796