Divorce incoming...questions about debt/assets

5 points•21 comments•submitted by satchmo890 to r/personalfinance

My wife of 18 years left me and my three kids yesterday. We are still amicable and want to resolve the upcoming divorce quickly. We purchased a foreclosure home roughly 10 years ago, and it has more than doubled in value during that time. We also currently have more than $45K in debt (Student Loans, Credit Card, Auto) together. I am the main income earner for our family, but I have relied on my wife's income to help cover the cost of health insurance on a monthly basis. My question is this:

If our divorce is truly amicable, would it be better for us to sell our house quickly and use the profit to pay off all of our debts, then split the remaining money in the divorce --OR-- split everything, including the debt before attempting to sell the house?

Edit: Once our debts are paid off, I will be able to afford the monthly cost of health insurance without my wife’s income.