I want a divorce, but our house is underwater. How do we handle this?
You can still go forward with the divorce even if the marital home is underwater. The asset and the debt that may be associated with that marital home because of the note attached to it will be used in the divorce proceedings. The courts going to look at all assets and debts acquired during the marriage with a few exceptions, and the presumption is to split them fifty, fifty between the parties. You may take on a liability associated with the home if the house is underwater.