Legal Question in Family Law in California
We're getting a divorce after nine years of marriage. My mother passed away recently and I inherited and sold her house. I used the money to pay off our mortgage. When we divorce am I entitled to the inheritance back? ($175,000). Then split the remaining equity? Or does my inheritance become community property?
3 Answers from Attorneys
I'd have to research this to be sure, but unless there is an argument to be made that your pay-off was intended as a gift to the community, I believe you may have a case that you purchased a portion of the appreciation of the house as well. Again, I haven't researched this, but I think you figure out what percentage of the original purchase price plus improvements if any is equal to $175,000. Then that percentage of the appreciation becomes your separate property as well. Unfortunately if your spouse gets a half way decent attorney they will argue that the money was a gift to the community. Since we're talking real money, you'd best hire a good attorney on this one.
It would have been better if you had not mingled the inheritence with a community asset. However, an argument should be made for the reimbursement of your separate property of the inheritence. Contact me directly.
Generally you will get reimbursement of the amount that you used to pay down the mortgage. You should, however, have an attorney to work through the details. Good Luck, Pat McCrary