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Characterizing Marital Property, Inception of Title

3/7/2016

 
Q: I've been told that once I become married, everything will become community property. Is this right? I have a house I've already paid off. My fiance also has her own house, and she's almost paid off the mortgage. Is it true that these houses will become community property once we're married? What will my fiance's house be if I make some of the mortgage payments after we're married?
First, you've been told wrong. What is already your separate property before you are married will remain your separate property once you are married. The house you have already bought and paid for is your separate property, and unless you make a gift of all or some of it to her, it will remain that way. Similarly, your fiance's house will remain hers, even if you make some of the mortgage payments once you are married.

It comes down to something called inception of title. When determining whether marital property is community or separate property, the court would look at when the property was acquired, the inception of title. If the property is acquired before marriage, then it is generally going to be characterized as separate property. If acquired during the marriage, the property will generally be characterized as community property, unless it was acquired by gift, devise, or descent.

Although all property does not become community property once you are married, there will be a community property presumption. This means that any property you have during the marriage will be presumed to be community property unless and until it is proven otherwise by clear and convincing evidence. Deed transfer dates and other documentation could be used in the case of the houses.

If you were to make some of the mortgage payments on your spouse's separate property home, then your separate property estate would have a claim for reimbursement if you were ever to divorce. 
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