How Long Does a Divorce Home Sale Take in New Jersey?

There's no fixed number: a divorce home sale in New Jersey goes through the same stages as any sale, plus the steps that come from your case, and the biggest variable is how fast both owners can agree. The market sets part of the clock. The two of you, your attorneys and sometimes the court set the rest.

I'm Dennis Mark Interdonato with The Dennis Mark Group at Keller Williams Realty Ocean Living, and I'm a Master CDRE®. For a sense of scale: when a judge appointed me to sell a marital home in Monmouth County, with one owner working to stall the sale, I got it to the closing table within five months of my appointment. Here's where the time goes, stage by stage.

What are the stages of a divorce home sale in New Jersey?

1. The decision to sell. It might come from your settlement agreement, from mediation, or from a court order. New Jersey courts route contested cases through an Early Settlement Panel and, for unresolved money issues, economic mediation, so the decision can take a while. I can give you a market value and a net-proceeds estimate before it's made, so the people deciding have real numbers.
2. The plan. Price, repairs, showing rules and how offers get approved, agreed in writing by both owners. This stage moves as fast as the two of you sign.
3. Getting the home ready. Repairs, cleaning, staging and photos. New Jersey also requires a smoke alarm compliance certificate from your town before a one- or two-family home is sold, and it's valid for six months from the date it's issued, so we time it to the sale.
4. On the market. The first two weeks matter most, because that's when every active buyer sees the home for the first time. Read why the first two weeks matter in a divorce sale.
5. Offer and attorney review. Once both owners and the buyer sign, New Jersey's three-day attorney review starts (more below).
6. Contract to closing. Inspections, the buyer's mortgage approval and appraisal, and the title work. The closing date is set in the contract. If the buyer is financing, the lender has to give the buyer the Closing Disclosure at least three business days before closing, according to the CFPB, so that date has to be planned around.
7. Closing. Your attorneys tell the closing agent in writing how the net proceeds are paid out or held. You both sign, and neither of you has to be in the same room for it.

How does New Jersey's three-day attorney review work?

When a real estate licensee prepares the sales contract, New Jersey's rules give the buyer's and the seller's attorneys three days to review it, under N.J.A.C. 11:5-6.2. The three days are counted from the date the signed contract is delivered to the buyer and the seller, and Saturdays, Sundays and legal holidays don't count. During that window, either attorney can disapprove the contract. If neither one does, the contract becomes legally binding as written. The buyer and seller can also agree in writing to extend the period.

In a divorce sale, ask your attorneys early who will handle attorney review for the two of you as sellers. Settling that before the first offer keeps the three days from slipping.

What slows a divorce home sale down?

• Waiting on a signature. Listing paperwork, price changes and offers all need both owners. One slow reply can cost a week.
• Two owners reviewing everything. Every price change, offer, inspection request and contract update has to reach both of you and come back from both of you. Sending it to both at once, with a written summary, keeps that from doubling the time.
• Disagreeing on an offer. Buyers don't wait forever. Agreeing in advance on how offers are reviewed keeps a good one from walking away.
• A house that isn't ready on listing day. Repairs that run late push back the photos and the launch.
• Town paperwork. A missing certificate or a failed resale inspection can hold up a closing.
• Lender approval. If the sale won't cover the payoff, the lender or servicer has to agree to it before closing, so talk with your servicer and your attorneys early. See selling with little or no equity.
• One owner who doesn't want it to sell. That's when the written plan, the attorneys and sometimes the court do the work.

How do you keep a divorce sale on schedule?

Put dates on everything. The written plan both owners sign includes the listing date, the review points after the first weekend and the first two weeks, and how fast each of you agrees to respond to an offer. Every update goes to both owners at once, and your attorneys stay informed, so nobody finds out late that something stalled.

Faster isn't always better, though. Rushing a step before the authority is clear, or heading to closing with paperwork missing, is how a sale loses a month at the end. The two things that save the most time get settled before the listing date: who decides, and the town's paperwork.

A neutral starting number helps too. Get one from the home valuation tool, then let me walk the house.

Should you sell before or after the divorce is final?

That's a question for your attorneys and your tax professional, because timing can change the taxes and fees. One example: IRS Publication 523 lets a seller who meets the ownership and use tests exclude up to $250,000 of gain, or $500,000 for a married couple filing jointly. Which applies to you depends on your filing status and dates, so get the answer before you pick a closing date.

Frequently Asked Questions

How long is attorney review in New Jersey?

Three days, counted from delivery of the signed contract to the buyer and the seller, not counting Saturdays, Sundays or legal holidays (N.J.A.C. 11:5-6.2). The parties can agree in writing to extend it.

Can a divorce home sale close before the divorce is final?

It can, when both owners sign or a court order directs the sale. Whether it should is a question for your attorneys and tax professional.

How long from accepted offer to closing?

It depends on the contract and on the buyer's financing. The closing date is negotiated as part of the offer, and I'll show both owners how each offer's timeline fits what your agreement requires. For the general picture, see how long it takes to close on a house in New Jersey.

This is general information, not legal, tax or lending advice.

About the author

Dennis Mark Interdonato is a REALTOR® and Master CDRE® who leads The Dennis Mark Group at Keller Williams Realty Ocean Living in Point Pleasant, NJ, helping buyers and sellers throughout New Jersey make their next move, with Monmouth and Ocean County as home base. Read more about Dennis Mark.

Keep reading

• The divorce home sale guide, with a step-by-step New Jersey timeline
• How Dennis Mark runs a divorce home sale
• Can I stay in the house until it sells?
• Have a question this didn't answer? Send it to Dennis Mark.