SA Is Ex Entitled to Half of Property Settlement?

[Kyma]

My ex and I recently sold our property and it has come time to divide our profits. We had owned the property for 10 years. With the last 5 years, I was paying for the whole mortgage and for all improvements to the house as she had moved out.

She is wanting half the property settlement. Is she entitled to this or only a percentage due to my contributions to the property?

 

[AllForHer]

If the Court's not involved, a property settlement can be whatever you agree to, but if you can't agree and ask the Court to decide for you, it asks four questions:

1. What's the total value of the shared asset pool?
2. What were the financial and non-financial contributions of each party?
3. What are the future needs of each party?
4. Is the settlement just and equitable?

In deciding the shared asset pool, the Court determines the value on the date of settlement, not on the date of separation.

So, is she entitled to 50% of the profits of the property sale? Not by law, only by agreement at this stage. If the Court is asked to decide, it would have to consider more than just your respective financial contributions of the last five years.

My view? Five years of mortgage repayments is a pretty hefty financial contribution. Provided there's no kids and no circumstances that might affect her capacity to have gainful employment, I would make the argument for a 35-40/65-60 split in your favour.

 

[Sophea]

There are no hard and fast rules when it comes to property settlements which say that a party is entitled to a certain percentage. Property settlements are up to the couple to negotiate between them and if they cannot work it out they must apply to the court to split their assets for them. The court will take into account a range of factors when deciding what to allocate to who. Check out these other posts and articles on that process the court goes through:

Property Settlement After Separation - Rarely a Case of 50:50 - Legal Blog - LawAnswers.com.au
Property Settlement After Separation - Agree Now, Don't Pay Later - Legal Blog - LawAnswers.com.au
TAS - Am I Entitled to Part of House in Property Settlement? | LawAnswers.com.au