Even though you made the payments from your own income, that income was Community Property. Consequently the Community does have an interest. It is not much but still there. Research Moore-Marsden.
This is a combined Moore and Marsden sheet.
Sections FACTORS – in Moore-Marsden calculation AMOUNT AS EXAMPLE FIGURING OUR CASE
Facts to work with 1) Purchase price $100,000 If purchase price is near date of marriage it not matter. If long before marriage and value has gone up might use California Market Values, Inc. for historical value.
2) Down payment 20,000
3) Encumbrances at purchase 80,000
4) Principal reductions after marriage 3,000
5) Value at time of marriage 120,000 Value at time of marriage is key. If can't find value at marriage must use the purchase price. Should know the debt on home at Date of Marriage so can figure the Community Property pay down.
6) Present value at time of trial 140,000
From the above six factors the following can be computed:
Community Property Pay down 7) Separate equity 97,000 Line 2 + Line 3 – Line 4
8) Community equity 3,000 Line 4
9) Separate percentage 97% Line 7 as a percentage of Line 1
10) Community percentage 3% 100% - Line 9
Apportionment of Appreciation 11) Appreciation from purchase 40,000 Line 6 – Line 1
12) Appreciation from marriage 20,000 Line 6 – Line 5
13) Community appreciation (Moore) 1,200 Line 10 as a percent of Line 11
14) Community appreciation (Marsden) 600 Line 10 as a percent of Line 12
Totals 15) Total Community Property interest (Moore) 4,200 Line 8 + Line 13
16) Total Community Property interest (Marsden) 3,600 Line 8 + Line 14
KEY POINTS:
• Preface: This is for Moore-Marsden is when Community Property MONEY is used to reduce a debt on the other spouses Separate Property.
• When Community Property EFFORT is used to increase the value of Separate Property then see 1spcp on Pereira and Van Camp.
• When Community Property money is used for CAPITAL IMPROVEMENTS see 1capital improvements.
• The case of Marriage of Rico (1992) 10 Cal. App. 3d 706 held that the method for calculating the community property interest in real property held as separate property but to which there have been community property contributions during the marriage
