When going through a divorce, one of the most challenging aspects can be dividing property and assets. California is a community property state, meaning that most assets acquired during the marriage are considered jointly owned and subject to equal division. Understanding how the court divides property in a divorce can help you prepare and protect your financial future. At Kendall Gkikas & Mitchell, LLP, we’re here to guide you through this process as your trusted divorce lawyer in Alta Loma CA. Keep reading to learn more!
Understanding Community Property and Separate Property
In California, property is categorized into two types. Community property are assets and debts acquired during the marriage are considered community property and are generally divided equally between both spouses. This includes income, real estate, vehicles, and retirement accounts.
Separate Property is assets owned by one spouse before the marriage, inheritances, and gifts received by one spouse are considered separate property. Separate property typically remains with the original owner and is not divided during the divorce.
However, the distinction between community and separate property can become blurred if separate property is commingled with marital assets. For example, using an inheritance to pay off a joint mortgage can complicate property division.
Steps the Court Takes to Divide Property
The first step in dividing property is creating a comprehensive inventory of all assets and debts. Both spouses are required to disclose their financial information fully and honestly. This includes bank accounts, investments, real estate, vehicles, and personal property, as well as debts such as mortgages, loans, and credit card balances.
Once all assets and debts are identified, the court will classify them as either community or separate property. This step can be straightforward for some items but may require legal expertise for more complex assets, such as business interests or retirement accounts. Your divorce lawyer in Alta Loma CA can help ensure your separate property is accurately identified and protected.
After classification, the court will assign a fair market value to all community property. This step often involves appraisals for real estate, vehicles, and valuable personal property, as well as financial analysis for investments and business interests. Accurate valuations are critical to ensuring a fair division.
California law requires an equal division of community property. However, this doesn’t always mean splitting every item down the middle. Instead, the court aims to distribute the overall value of the assets equally. For example, one spouse may keep the family home while the other receives assets of equivalent value, such as retirement accounts or cash.
Again, the process is complex, which is why you need a skilled divorce lawyer in Alta Loma CA to help you through the process.
Contact Kendall Gkikas & Mitchell, LLP for Expert Divorce Representation
Navigating property division during a divorce can be overwhelming, especially when emotions are high and financial stakes are significant. At Kendall Gkikas & Mitchell, LLP, we have extensive experience handling complex property division cases. Whether your divorce involves straightforward assets or more intricate issues like business ownership or commingled property, we’re here to guide you through the process. If you’re facing property division in your divorce, contact us today at 909-482-1422 to schedule a consultation with an experienced divorce lawyer in Alta Loma CA!