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What Happens In A Divorce If A Non-marital Property’s Mortgage Is Paid With Marital Funds

August 6, 2015 by  
Filed under Uncategorized



In the Somasca v. Somasca divorce case, the Second District Court of Appeals ruled that where the mortgage on a non-marital property was paid off using marital funds the Wife was entitled to equatable distribution of one half of the amount of the mortgage that was paid off even though the value of the non-marital property had decreased during the marriage.

The trial court had rejected the Wife’s claim reasoning that since there was no appreciation in the value of the building during the term of the marriage, the amount of the reduction in the mortgage indebtedness during the marriage paid from marital funds “becomes moot and [is] no[t] compensable” to the Wife.  The appellate Court disagreed stating that the equity in the property had gone up by the amount paid off using marital funds regardless of a lack of appreciation or depreciation of the property itself.

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