By Kenneth V. Mundy, Partner
Real estate is often one of the most valuable and emotionally significant assets in a divorce. Whether it’s the family home, rental proper ties, or vacation homes, deciding what happens to real estate can be a complex and contentious process.
Florida follows equitable distribution, meaning property is divided fairly—not necessarily equally—based on several factors, and no two situations are ever the same. Some of these factors include whether the real estate is considered marital or separate property, the financial circumstances of each spouse, and whether selling, buying out, or co-owning is the best option.
Marital vs. Separate Property in Florida
In a Florida divorce, real estate is classified as either marital property or separate property, which determines how it will be divided.
Marital property is defined as real estate acquired during the marriage, regardless of whose name is on the title. If a home was purchased together, it is subject to equitable distribution in the divorce.
Separate property refers to real estate that is owned by one spouse before the marriage or acquired through inheritance or gifts. However, it’s important to note that separate property can become marital property if both spouses contributed to mortgage payments, renovations, or maintenance using marital funds.
Florida courts also consider the source of funds rule, meaning if marital assets were used to improve separate property, the other spouse may be entitled to a share of its increased value.
Dividing Real Estate in a Florida Divorce
When divorcing in Florida, spouses have several options for handling real estate, depending on their financial situation and personal preferences. The most common approaches include:
. Selling the Property and Splitting the Proceeds – This is often the simplest and most equitable solution. Once the home is sold, the proceeds are divided based on the court’s ruling or the couple’s agreement. In some instances this option isn’t preferred because of poor market conditions.
. One Spouse Buys Out the Other – If one spouse wishes to keep the property, they can buy out the other’s share based on the home’s appraised value. The buying spouse typically refinances the mortgage to remove the other spouse’s financial liability.
. Co-Ownership After Divorce – In some cases, ex-spouses agree to retain joint ownership. We commonly see this when children are involved, allowing them to remain in the home.
. Court-Ordered Sale – If spouses cannot agree, the court may order the property to be sold and equitable distribution of proceeds. This ensures neither party unfairly benefits from delaying a decision.
The best option depends on financial considerations, mortgage obligations, and each spouse’s ability to maintain the property post-divorce. A Florida divorce lawyer’s main role is to help determine the most practical and fair solution. Using decades of experience our team can help evaluate your situation and outline a path for moving forward.
Factors Courts Consider When Dividing Real Estate
When dividing real estate in a Florida divorce, courts consider several key factors to ensure an equitable distribution:
. Each spouse’s financial situation – Who can afford to keep the property and manage associated costs?
. Contributions to the property – This includes mortgage payments, maintenance, and improvements.
. Custody of children – Courts often favor awarding the home to the parent with primary custody to provide stability.
. Market conditions – The court may consider whether selling is financially viable.
. Misconduct and asset dissipation – If one spouse depleted marital assets intentionally, it may impact property division.
See How Woodward, Pires & Lombardo, P.A.
Can Help You
For most of us in Southwest Florida, our houses are the most important asset we own. Let us help you protect it. Contact us today to learn what to do with it during divorce proceedings.
About the Author
Kenneth (“Ken”) V. Mundy is a partner with the law firm of Woodward, Pires & Lombardo, P.A. For undergraduate school, Ken graduated cum laude from Florida Gulf Coast University in 2013. Thereafter, Ken graduated summa cum laude from Ave Maria School of Law in 2016, where he obtained his Juris Doctor. Originally from New Jersey, Ken moved to Naples, Florida, with his parents and sister in 1997. Ken continues to happily reside in Naples with his wife, Taylor, his son, Dallas and daughter, Sophie.
Ken is a Certified Financial Litigator (CFL™) focusing on family and marital law, including but not limited to complex divorces, child custody disputes, child support and alimony issues, relocation, paternity actions, and domestic violence proceedings. Ken is committed to protecting, educating, and guiding each client through the difficult and challenging processes associated with family law matters. In every case, Ken ensures his clients are placed in a position to make decisions in the best interest of themselves and their families while also maintaining their dignity and self-respect.
Ken is also very involved in the community as he is on the Board of Directors for Meals of Hope and the Naples Junior Chamber, both of which are not-for-profit entities.
Woodward, Pires & Lombardo, P.A.
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