Understanding Property Division in Orlando High Net-Worth Divorce Cases
Orlando is home to many high-net-worth individuals who have built substantial wealth, including real estate portfolios that often span multiple properties. For those going through a divorce in Florida, one of the most pressing concerns is how to accurately value and divide these assets. Whether you are a property owner seeking to protect your investments or a spouse ensuring a fair distribution, working with an experienced high net-worth divorce Attorney in Orlando is essential.
I am Beryl Thompson-McClary, and I have helped high-net-worth individuals resolve complex divorce cases, including those involving real estate holdings. My firm handles divorce cases throughout Orange County, Florida, ensuring that clients receive strategic representation in property division matters. If your divorce involves real estate assets, I encourage you to call 1-888-640-2999 to schedule a consultation.
How Florida Law Addresses Real Estate in Divorce
Florida follows equitable distribution under Florida Statutes §61.075, meaning marital assets are divided fairly but not necessarily equally. Real estate portfolios often complicate this process due to varying property values, ownership structures, and income-generating potential.
The court considers factors such as:
- Whether the property is marital or non-marital
- Contributions of each spouse toward acquiring and maintaining properties
- The role of real estate in generating income or serving as a primary residence
- The tax consequences of transferring or selling properties
Because real estate investments often represent a significant portion of a couple’s wealth, determining fair distribution requires a thorough legal and financial analysis.
Marital vs. Non-Marital Property in Florida Divorces
Determining whether real estate is marital or non-marital is the first step in assessing how it will be divided.
- Marital Property: Real estate purchased during the marriage, regardless of whose name is on the title, is generally considered marital property and subject to equitable distribution.
- Non-Marital Property: Properties acquired before marriage or inherited individually may remain separate unless commingled with marital funds or used for joint purposes.
In some cases, one spouse may argue that their real estate holdings should remain separate, while the other may seek a share due to contributions toward maintenance or appreciation in value. My role as an Orlando high net-worth divorce Attorney is to present the strongest case for my client, whether protecting assets or ensuring a fair valuation.
Key Considerations When Valuing a Real Estate Portfolio
For high-net-worth divorces involving multiple properties, valuation is critical. The following factors influence how real estate is valued during divorce proceedings:
1. Fair Market Value
Professional appraisers assess a property’s market value based on location, condition, and recent sales of comparable properties. Both spouses may need independent valuations if there is disagreement.
2. Income-Producing Properties
If the portfolio includes rental properties, commercial buildings, or vacation rentals, the court will evaluate the income they generate. This requires reviewing rental agreements, financial records, and market projections.
3. Property Appreciation and Improvements
If a property significantly increased in value due to marital contributions (renovations, improvements, or joint financial investment), the appreciation may be considered marital property even if the original asset was non-marital.
4. Tax Implications
Selling or transferring real estate can trigger capital gains taxes, property reassessments, or other financial consequences. Proper structuring of property division agreements can help minimize tax burdens.
5. Debt and Liabilities
Mortgages, liens, and outstanding property debts factor into equitable distribution. If one spouse takes ownership of a property, they may also be responsible for its liabilities.
Division Strategies for Real Estate Portfolios
There are multiple ways to approach property division in a high-asset divorce:
One Spouse Retains Ownership
The spouse keeping the property may compensate the other through a buyout or the exchange of other assets, such as investments or retirement accounts.
Selling and Dividing Proceeds
In cases where neither spouse wants to retain a property or tax concerns make a buyout impractical, selling real estate and dividing the proceeds is an option.
Co-Ownership After Divorce
In rare cases, spouses continue joint ownership post-divorce, particularly with income-producing properties or family homes for minor children. This arrangement requires careful legal structuring.
Common Legal Disputes Over Real Estate in Divorce
Real estate division often leads to legal disputes, such as:
- One spouse undervaluing property to reduce settlement obligations
- Disagreements over selling vs. retaining property
- Commingled assets where separate property became marital over time
- Hidden real estate holdings or improper asset transfers
Addressing these issues requires experienced legal representation. I work with financial experts, appraisers, and forensic accountants to ensure an accurate valuation and fair division of assets.
FAQs About Real Estate in Florida High-Asset Divorces
How is real estate divided in a high-net-worth divorce in Florida?
Real estate division follows Florida’s equitable distribution laws, meaning properties are divided fairly based on contributions, income, and other factors. Spouses may negotiate settlements, or the court may determine how assets are split.
Can I keep my real estate portfolio after a divorce?
Yes, but this typically requires a buyout or negotiating asset exchanges. Courts may also award properties to one spouse based on financial needs, business interests, or child custody arrangements.
What happens if my spouse tries to undervalue our properties?
If you suspect undervaluation, a professional appraiser or forensic accountant can provide a more accurate assessment. Courts consider independent valuations when determining property division.
What if my spouse and I co-own rental properties?
You may continue co-ownership after divorce or sell and divide proceeds. Some agreements allow one spouse to manage rentals while the other receives income. A legal agreement must outline responsibilities.
Are there tax consequences when dividing real estate in a Florida divorce?
Yes, property transfers and sales can result in capital gains taxes and other financial liabilities. Proper legal structuring minimizes tax burdens and ensures fair asset distribution.
How can I protect my real estate portfolio before a divorce?
Prenuptial and postnuptial agreements are effective tools. Keeping separate property clearly defined and avoiding commingling assets can also help protect your investments.
Contact Orlando Attorney Beryl Thompson-McClary at 1-888-640-2999 For A Consultation
Dividing a real estate portfolio in a high-net-worth divorce requires skilled legal guidance. Whether you are protecting your assets or ensuring a fair share of marital property, I am here to help. Call 1-888-640-2999 to schedule a consultation and discuss your case.
Beryl Thompson-McClary
Address: 390 N Orange Ave #2300, Orlando, FL 32801, United States
Hours: Open
Phone: 1-888-640-2999
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