Equity distribution question


#1

Dear sk:

The property that you held prior to the marriage would remain your separate property, so long as you didn’t retitle the deed into both your name and your wife’s name. She would be entitled to some active increase in the property during the marriage, meaning if you placed an addition on the house or some other expenditure that increased the value. She would also be entitled to 1/2 the principal reduction from the mortgage payments made during the marriage.
Be careful about using the tax value, as it may not reflect the value a court would use.

Ketan P. Soni
The Rosen Law Firm
4101 Lake Boone Trail, Suite 200
Raleigh, North Carolina 27607
NCdivorce.com
(919)787-6668

The response posted above is based upon the limited factual information made available and is not intended as a full and complete response to the question. The only reliable manner to obtain complete and adequate legal advice is to consult with an attorney, fully explain your situation, and allow the attorney sufficient opportunity to research the applicable law and facts required to render an accurate opinion. The basic information provided above is intended as a public service but a full discussion with an attorney should be undertaken before taking any action.


#2

I purchased a house in 1997 for about 66,000 eventhough the tax value was 49,000.

In 1998 I met my current wife and we eventually got married in June 2001.

Sometime shortly after we got married the county I live in did a property tax re-evaluation because one hadn’t been done over the last ten years or so. They revalued my house at 82,000.

If a seperation were to occur how would this dramatic increase in property value be looked at with regards to equity distribution?