The family home typically is one of the largest purchases a family can make, thus making it a huge concern for our clients who are divorcing. Previously we discussed the options for a separating family in a rental agreement. Today, questions will be answered with regards to the mortgage and the family home during property division and divorce agreements.
Property Division and the Family Home Part 1
One major concern for clients facing a dissolution of marriage is the future of the family home. If you are renting, the solution may be relatively easier than if you are in an extended mortgage agreement, in which the appropriate action may be slightly more complicated. Regardless of your current housing situation, property division and the outlook of your home are likely to be at the top of your list of questions.
California Court Rules on Division of Marital Property
In California, the law differentiates between community property and separate property when it comes to the division of marital assets. Deciding what qualifies as community property can be difficult, especially if a couple was separated for a long period of time before divorcing, or if one spouse did not immediately move out of a shared residence. A recent court decision has clarified some ambiguities in the relevant statutory language that will help streamline the division of property in California divorce proceedings.
Community and Separate Property
Property division in a California divorce is dependent on whether the property is characterized as community or separate property. Community property is property owned jointly by both spouses or domestic partners, while separate property is owned by only one spouse or domestic partner. In a divorce or legal separation, community property will be subject to division, but separate property will not.