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<b><i>Practice Tip:</b></i>Divorce: The Silver Lining
Divorce rates are on the rise as the U.S. economy slowly improves and rebounds from the recession. While some may view a rise in divorce as a negative statistic, there is a positive corresponding impact: Separating couples actually help further improve the economy. This applies not only to divorce lawyers' bottom line, but also to the real estate and consumer markets and our labor force.
The U.S. Census Bureau reported that divorce rates significantly dropped during the recession between 2007 and 2008, despite having been on an upward trajectory for prior decades. According to economic and U.S. data sources, divorce rates more than doubled between the 1940s and the 1980s. It then dropped by one-third in 2009, at which time divorce rates were lower than they have been in the past 40 years. But, over the past few years, divorce rates have been steadily increasing, with 2.4 million divorce filings in 2012.
Divorcing couples typically require at least one new home for the departing spouse, and sometimes two new homes if the marital residence is listed for sale. This dynamic has increased both the supply and demand for housing, which has helped improve the construction industry, real estate sales and real estate rentals.
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