Separate Property is Used to Purchase a Home During Marriage in Arizona
Some people ask what happens when separate property is used to purchase a home during marriage in Arizona. The public policy of the state of Arizona is to preserve and protect the community whenever possible. As a very general rule and as only one example of many situations that could arise, the community gains a community lien whenever community funds are used to improve the sole and separate property of the other spouse, but only to the extent, those improvements increased the value of that sole and separate asset.
However, a much different result applies when separate funds are used to improve a home during the marriage.
In such a case, the sole and separate funds are presumed by law to be a gift to the community absent an agreement between the spouses that the sole and separate funds are to be repaid.
The general rules discussed above have many exceptions, which can be very complicated.
You should consult with a qualified and experienced Arizona community property attorney about your particular situation.
You should read our article “Changing Sole and Separate Property Into Community Property,” which discusses the Arizona Court of Appeals’ decision in the Malecky v. Malecky case addressing these issues or watch the video below regarding the Malecky case.
You may also wish to read our summary of the Arizona Court of Appeals case of In Re the Marriage of Flowers wherein the court ruled a trial judge may unequally divide separate property that has been turned into community property if it is proven to be equitable to do so.
Similarly, the Arizona Court of Appeals held in the In Re Marriage of Inboden case that a trial court may not order an unequal division of community property for the sole purpose of reimbursing a spouse for using his or her sole and separate property to acquire or improve community property.
The court of appeals did indicate a trial court may consider the respective contributions of their separate property on community property when the judge exercises his or her broad discretion to look at the “big picture” when dividing that community property.
Contact Our Scottsdale Arizona Community Property Attorneys
Call us at (480)305-8300 to schedule a consultation with one of our Scottsdale Arizona Community Property Attorneys regarding Arizona community property laws or any other Arizona family law matter.
Other Articles About Community Property in Arizona
- Community Lien on Sole and Separate Property in Arizona
- Community Liens Separate Property in Arizona
- Community Property and Personal Guaranty in Arizona
- Determining Community Versus Sole Property in Arizona
- The difference Between Community and Separate Property in Arizona
- Disclaimer Deed in a Divorce in Arizona
- Divide Retirement Accounts in an Arizona Divorce
- Dividing Property Not Included in Divorce Decree in Arizona
- Division of Debt in an Arizona Divorce
- Do Rules Regarding Property Apply to Debts in an Arizona Divorce
- Enforce Division of Property and Debt in an Arizona Divorce
- Enforcing a Property Settlement Agreement in Arizona
- Filing a Lis Pendens in a Divorce in Arizona
- How is Property Divided in a Divorce in Arizona
- How to Divide Property in Arizona When a Spouse is Hiding Assets
- Is All Property Community Property in Arizona
- Is Arizona a 50 50 State in a Divorce
- Is Separate Property Divided in Arizona Divorce
- Marital Property Laws in Arizona
- Military Retirement Pay and Divorce in Arizona
- Pensions and Divorce in Arizona
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- Is a Spouse Liable for Credit Card Debt in Arizona
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- What is Community Property in Arizona
- What is Separate Property in Arizona
Chris Hildebrand wrote the information on this page about what happens when sole and separate property is used to purchase a home during marriage in Arizona to ensure everyone has access to information about community property laws in Arizona. Chris is a family law attorney at Hildebrand Law, PC. He has over 24 years of Arizona family law experience and has received multiple awards, including US News and World Report “Top Arizona Divorce Attorneys”, Phoenix Magazine “Top Divorce Law Firms”, and Arizona Foothills Magazine “Best of the Valley” award. He believes the policies and procedures he uses to get his clients through a divorce should all be guided by the principles of honesty, integrity, and actually caring about what his clients are going through.