Community Property

Texas is one of a handful of states that recognizes community property laws. Under this doctrine, any asset or property purchased during the marriage is considered jointly owned by both spouses unless it qualifies as separate property (inherited property or property acquired prior to marriage).

Texas-Specific Nuance & Citation

According to the Texas Family Code Chapter 3, all property acquired by spouses during marriage is presumed to be community property. For separate property to maintain its status, clear and convincing evidence (such as trace records) must be presented.

The Trap

A major exam trap is assuming a spouse can sell community property on their own if only their name is listed on the deed. In Texas, title companies will almost always require the signature of both spouses to convey real property acquired during the marriage.

Worked Example

A husband in Waco buys a rental property using his own income during his marriage. The deed is placed solely in his name. Despite this, under Texas law, the property is community property. When he wants to sell it, the title company will require his wife to sign the warranty deed to release her community interest.