What Happens to Shared Property in a Divorce with Custody Issues?
Going through a divorce typically forces you to address two of the most sensitive areas of your life: your children and your finances. In Arizona, how your home and assets are divided is often closely linked to decisions about your children's care. This overlap can create a complicated legal system that requires a clear strategy to manage effectively.
Arizona follows the community property principle, meaning most assets acquired during the marriage are owned equally by both spouses. However, when children are involved, the court must also consider their best interests when deciding who remains in the family home or how certain assets are liquidated. This is done to minimize disruption in the children’s lives after the divorce is finalized.
At The 928 Law Firm, our divorce attorneys are dedicated to helping families in Northern and Central Arizona handle asset division and custody challenges with clarity. We are experienced in helping you understand how your property rights and parental rights intersect during a divorce.
Serving Coconino County, Yavapai County, Mohave County, and Maricopa County, including Flagstaff, Sedona, Grand Canyon Junction, Tuba City, Kingman, Prescott, and beyond, we provide the advocacy needed to protect your future. Reach out to us today to discuss your case.
Understanding Community Property and Equitable Division
In any Arizona divorce, you will need to first identify what counts as community property versus separate property. Generally, anything earned or bought from the date of the wedding until the service of the petition is considered shared. Our divorce attorneys can help you catalog these assets to achieve a fair final division that complies with state law.
A fair division does not always mean a 50/50 split. Instead, the courts may select a division that is equitable. This is particularly true when custody issues are at the center of the dispute. For example, if one parent is granted primary physical custody, the court may try to allow that parent to remain in the family home so the children do not have to change schools or neighborhoods.
The goal here is to build a clear picture of your marital estate, including real estate, retirement accounts, and shared debts. By identifying separate property—such as items owned before the marriage or received as a specific inheritance—you and your attorney can better protect your individual interests.
How Custody Arrangements Impact the Family Home
The family home is typically the most significant asset in a divorce, and its future is frequently tied to your parenting plan. In Arizona, judges prioritize children's stability above all else. If moving out would cause undue stress or disrupt your child’s routine, the court may award one parent the "exclusive use and possession" of the home for a set period. When custody is a factor, the court may employ certain strategies when dividing assets:
Buying out the other spouse: One parent may keep the home and pay the other their half of the equity, often by refinancing the mortgage.
Deferred sale: The parents may agree to keep the home until the youngest child graduates high school, at which point the house is sold, and the proceeds are split.
Immediate sale: The home is sold during the divorce process, and the equity is used to help both parents establish new, separate households.
Offsetting assets: One parent might keep the home while the other receives a larger share of retirement accounts or other investments to balance the value.
Choosing the right path depends on your financial ability to maintain the property and your long-term parenting goals. At the 928 Law Firm, we can help you weigh these options to find a solution that supports your new lifestyle while keeping your children’s needs at the forefront.
The Connection Between Property Division and Child Support
In Arizona, child support is calculated using specific state guidelines that consider both parents' incomes and the amount of parenting time each parent has. However, the division of property can sometimes influence these financial obligations.
For instance, if one parent receives a significant income-producing asset in the property settlement, that income may be factored into the support calculation.
Your property agreement shouldn’t negatively impact your ability to provide for your children or receive the support you need. At The 928 Law Firm, our divorce attorneys can analyze how the distribution of debts—such as car loans or credit cards—affects your monthly budget.
It’s also important to consider the tax implications of your property division. Some assets, such as certain retirement funds, have future tax liabilities that can affect your actual net worth. Our attorneys can help you look at the total financial picture so that your support and property arrangements work together toward your financial health.
Contact Our Experienced Arizona Divorce Attorneys Today
The choices you make during your divorce can have significant implications for how assets and custody are divided. If you are facing a divorce with significant shared assets and children, work with a firm that understands Arizona law and treats your case with the care it needs. Our divorce attorneys are here to provide the support and guidance you need to manage these challenges.
At The 928 Law Firm, we serve clients throughout Coconino County, Yavapai County, Mohave County, and Maricopa County. This includes Flagstaff, Sedona, Grand Canyon Junction, Tuba City, Kingman, and Prescott, and beyond. If you are facing a divorce with complicated property or custody issues, our divorce attorneys are ready to help.
Don’t let the stress of a split overwhelm your ability to plan for the future. We can help you build a plan that protects your interests and provides stability for your children. Reach out to us today to schedule an initial consultation.