Property divorce and premarital assets often require expert advice in order to determine the most accurate and fair method of distributing the financial wealth. The health of the entire family is the most vital role in coming to settlement agreements, and premarital assets can be one of the most challenging arguments on the table.
Property divorce and premarital asset division for a couple who has one main bread winner varies from one state to the next. In many cases, holding the deed to the family home in just one name does not exempt it from the property divorce settlement. In almost all states holding property, financial trusts or investments, or other assets that were acquired before the marriage all marital assets are considered to be part of the property divorce unless a prenuptial agreement was signed.
Property divorces involving premarital assets are the second most volatile part of divorce proceedings, right under custody. It can be easy to be intimidated into dropping premarital assets during a property divorce settlement. However, doing so is likely to seriously affect the financial health of your future and robs you a fair assessment of the family’s finances. Many men and women feel as though they have no rightful claim on the premarital assets but all property and actions have created the financial situation of the current standings.
Many divorce lawyers will advise that premarital assets may not become community property based on some state laws. However, most state laws are two fold. While one law states that premarital assets can not be part of the property divorce, there are also exceptions to those laws that can over ride the initial law. For instance, if one party owned the home (but was still making mortgage payments) at the time of marriage and the other party contributed to those payments via financial or financially worthy support (bringing in a family income or providing child care for the other party’s direct children) then the home is automatically community property. In almost all circumstances, property divorce will include premarital assets unless a prenuptial agreement is in place. Marriage is a legal and financial agreement between two parties. Divorce is also a legal and financial agreement between two parties. Don’t be dissuaded from prolonging a divorce if it means that you receive your fair share of the legal and financial agreement of a terminated divorce.