Jennifer Lopez and Ben Affleck: No Prenup and a $64M disaster
Their mansion is stuck on the market… is it worth it?
Jennifer Lopez and Ben Affleck’s second marriage was a quick and expensive disaster, and the sale of their $68 million Los Angeles mansion they purchased together is another expensive disaster. The lavish mansion, listed on July 11th, is struggling to attract buyers due to its inflated price and excessive size. Amongst other personal situations, they didn’t sign a prenuptial agreement and are facing more tension with the division of assets.
A prenuptial agreement is a legal document that explains what will happen to a couple’s assets if they get divorced. It can also have rules on other issues, like how to share custody of an animal or if alimony will be expected. Experts suggest that couples who intend to get married should consider one even if they don’t have a lot of money.
The primary issue of this high-profile divorce will be community property, which is all property acquired during the tenure of the marriage minus some exceptions. Purchasing a home during the marriage will constitute a community property asset. When it comes time to value the asset and determine community property interest, factors such as appreciation, who put the bulk of the down payment on the house, who made the monthly mortgage payments, and who paid for renovations, are factors that will be considered when doing a forensic valuation. In this case, J.Lo was the one who invested more money into the property.
In 2020, Forbes listed Jennifer Lopez was reportedly worth $150 million and Affleck was worth $55 million. This could mean Lopez stands to lose more financially in a divorce than Affleck.
The former couple is expected to lose at least $25 million when their massive estate eventually sells, along with losing at least 10% on the proceeds from the sale of the house, which they will have to split, due to a California mansion tax and realtor fees.
Property records show that Ben and Jen paid $60.8 million for the property in May 2023 through a trust, and then took out a hefty $20 million mortgage on the home. According to the Realtor.com mortgage calculator, the monthly payment, depending on the interest rate, would be anywhere up to $200,000. This doesn’t include its $1,100-a-day tax bill.
