Dividing property after separation? Our Melbourne Property Settlement Lawyers provide clear advice and expertise on everything from the family home, businesses, trusts, cryptocurrency and complex assets. Book your first appointment free to understand your options and know where you stand.
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Work with a team led by Accredited Family Law Specialists, who are recognised for their experience and expertise strategically negotiating family law property settlements.
For more than a century, Pearsons Lawyers have helped the Melbourne community resolve property matters with trusted advice, practical solutions and expert representation.
Start with a free 30 minute appointment to understand your legal position, possible entitlements and available legal options, and know where you stand.
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Organising property settlement after divorce or separation is one of the most significant legal matters for married and de facto couples ending a relationship. It is the process of dividing the combined assets (and debts) of both parties, and working out who keeps what. It isn’t as simple as ‘splitting it 50/50’ or taking what you came into the relationship with, because property splits in Australia are designed to be ‘just and equitable’ for both parties.
Adjustments can be made based on a number of factors, which are set out in section 79 of the Family Law Act 1975 (Cth) for married couples, and section 90SM for de facto couples. The process begins with each party disclosing their financial situation, income, assets and liabilities. From there, the steps set out in the Act take into account each party’s financial and non-financial contributions and their current and future circumstances, such as earning capacity, health, age and care of children.
If you are beginning your property settlement, or need early advice before separation about your rights and potential entitlements, please get in touch with our Melbourne property settlement lawyers and book your free, confidential first appointment (30 minutes).
Pearsons Lawyers has been serving the Melbourne community for more than 100 years across everything from straightforward through to highly complex property division matters.
Real estate, shares, savings and overseas assets, valued and divided fairly.
Valuing and dividing interests in companies, trusts and family businesses.
Splitting super, including self-managed funds, and assessing inheritance entitlements.
Forensic accounting to uncover cryptocurrency and undisclosed assets.
Caveats, subpoenas and urgent injunctions to protect your entitlements.
Formalising, altering or challenging orders, agreements and de facto claims.
Deborah Sim – Partner, Accredited Family Law Specialist. Can assist with complex property, trusts, business valuations, overseas assets.
Property settlement starts with identifying what’s in the shared property pool. The definition of ‘property’ is extremely broad and is essentially anything of value that is owned by either party, balanced against debts and liabilities.
Property includes:
Identifying these assets can take time if the property pool is complex, or if either party isn’t being clear about assets in their name. We can assist you with identifying what’s in the pool, locating any hidden assets and ensuring valuations are correctly done.
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When property is divided in Australia, what is commonly called the ‘four step process’ is used to decide who gets what. Since 10 June 2025, these steps are set out in the Family Law Act 1975 (Cth) itself, in section 79 for married couples and section 90SM for de facto couples. They apply whether your settlement is negotiated or decided by a court.
Most settlements are reached out of court with the help of property settlement lawyers. If your matter goes to the Federal Circuit and Family Court of Australia, the court follows the same steps. This is also why representing yourself can be very difficult: it takes a fair degree of skill to understand how factors like contributions add up.
First, work out what is in the pool to be divided: all the property and debts of both parties, whoever’s name they are in, and what each is worth.
Both parties must give full and frank disclosure of their assets, debts and financial position. Since 10 June 2025 this duty is written into the Family Law Act (sections 71B and 90RI) and it continues until the matter is resolved. If the value of an asset is disputed, independent valuations will need to be organised.
Next, look at what each party contributed before, during and after the relationship, and give each an overall percentage. This is often the most complex part of a property settlement.
Then, look at how each party will manage financially, now and in the future. The percentage can be adjusted in favour of one party if it is just and equitable to do so. This includes:
Finally, settle the overall percentage split and decide who keeps which assets and debts. The result may be an equal division, or one party may receive a greater or lesser share. There is no set formula.
A court will only make orders if it is satisfied the outcome is just and equitable in all the circumstances, and it can work through these steps in any order to get there.
At Pearsons Lawyers, we can give you advice at your first appointment about how these factors apply to your matter and what a fair settlement is likely to look like. By the end of your first appointment, you will know where you stand.
It’s common for people going through property settlement to express concerns that their former partner is not being honest about all of their assets. This is seen more often when one party looks after all of the finances, or when a period of separation has passed before the property settlement begins. If you have found yourself in this situation, a forensic accountant can trace through transactions and find any anomalies and patterns that don’t align with the information or figures being presented.
If forensic accounting or detailed valuations are required during your property settlement, it will add to the costs of your settlement, but if assets are being hidden or undervalued, it may significantly alter the outcome of your property settlement. If you have concerns about assets not being disclosed, or fairly valued, please get in touch with our team for a chat about how we can help.
In our work, people often show up with little idea how to start a property settlement, and a lot of ideas about how it works that just aren’t based in the realities of Australian family law principles.
We’re addressing the ones that we hear over and over again here.
Myth. Superannuation in Australia makes up a large amount of most property pools, ranging from 10% to almost the entire property pool in some cases. It doesn't matter whose name it is in, it will be alongside other assets.
Tip: If you don't know how much superannuation your partner actually has or who it's held with, it doesn't matter. They are required to disclose this by law, and if they don't, or if you feel they may not be providing a full picture, the courts can make an order for them to share the balances of super funds held.
Myth. This is exactly the same as with superannuation - no matter which partner's name it is in, it's part of the property pool. It's very common for property or assets to be held in only one person's name, especially when one person is a stay-at-home parent or takes care of the home. It doesn't mean the other person isn't entitled to anything just because it's not in their name.
Tip: If you are in a relationship, the court looks at how you both contributed over time, in both financial and non-financial ways. Keep a record of any financial contributions, and everything else you have done to contribute to the relationship. You may have paid for groceries, bills and clothing, not the mortgage, raised children, helped renovate, done years of admin for the family business or kept the house clean and cooked meals. It all matters.
Myth. While the Family Law Act 1975 (Cth), or courts, do consider what each person brought in at the start of the relationship, it still goes into the property pool to be assessed. If it's a two year relationship, one person brought in all the assets, and the other contributed little over that time, it's unlikely they'll take a large chunk of the property pool. But say it's a 10 year relationship, with two children, and lots of other contributions over that time, they may be entitled to a substantial share of it.
Tip: Look at the bigger picture - and everything both people put in over time. That's how the courts assess it, and value is placed on all sorts of contributions for a reason.
Myth. Again, it doesn't matter who owned what, or agreed to pay for what, everything is assessed in the matrimonial or de facto property pool at the time of property settlement. Even if you verbally agreed to keep your finances separate, that agreement may change during the course of a divorce or separation.
Tip: If you are in a relationship and both want to maintain clear financial independence and protect certain assets in the event of a relationship ending, consider a binding financial agreement (a prenuptial) before moving in together or getting married.
Myth: Transfers and payments can be made to either party at the end of property settlement, no matter which person's name it is in. The ownership, value and treatment of an asset can still be assessed in the shared property pool, at the date of property settlement, even when it's held in one person's name or has been transferred to a third party after separation, but before property settlement - such as parents, siblings or a new partner.
Tip: If you don't know what assets are in the pool, where they are documented or what they are worth, which is still relatively common in some relationships today, a Family Lawyer can help you to work out what is there, and help you to understand your entitlements. It's also important to remember that if you don't know much about how finances have been managed, that there may also be debts or large liabilities that are unsurfaced during the property settlement process - not just what you can see as an asset.
Possibly true, possibly a myth. Depending on both you and your former partner's financial situation, and other considerations regarding the relationship, you may be eligible to apply for property settlement, and also spousal maintenance. Spousal maintenance can be paid on an interim or long-term basis, when one party is unable to adequately support themselves and the other has the capacity to pay maintenance.
Tip: If you have been in a relationship in which you are financially dependent, or earn a lot less, talk to a Family Lawyer about whether spousal maintenance could be considered in your situation.
Myth. This is one of the most common myths, and many people are surprised to learn that the Family Law Act 1975 (Cth) has specific considerations for weighing up how property is divided. There is no set formula, rather a lot of considerations. If both parties added a lot to the relationship over a long period of time (whether financial or non-financial), a 50/50 split may occur. If one person owned everything, paid all the bills and contributed a lot in a short relationship, the split may land at 80/20.
Tip: It's important to look at property settlement the way the law does. Think about how much you both really contributed, whether financially, caring for children or the home. Look at how long you were together, what you both started with, what you built while together, and if there are children - how old they are, and who will care for them. Consider both parties earning capacity, needs and what a fair split would be, all things considered.
Myth. In the same way that a total 50/50 property split is not standard, inheritances will be weighed up in the bigger picture of the shared asset pool. It may be assessed differently if it was received before, during or after the relationship, counted as a direct contribution to the pool or as a financial resource of the receiving party.
Tip: Inheritances can be assessed in a number of ways, and the length and nature of your relationship and other assets and debts will all be weighed up together.
Property settlements can be finalised when both parties agree, or, Court proceedings may be necessary if an agreement is not able to be reached.
Once an agreement is made about how to divide property, agreements will generally need to be formalised, to ensure they are legally binding, and greatly reduce the chances of either party making a later claim. There is more than one legal pathway to do this, which we’ll outline here.
If an agreement is reached, an application can be made with the Federal Circuit and Family Court of Australia for consent orders. All relevant forms and agreements are filed with the Court. If the Registrar believes that the property settlement is just and equitable, and clear enough to be enforced, they will make orders without the need for the parties to attend Court.
These are called consent orders and are generally straightforward and cost-effective. They can be used for property settlement, superannuation splits, spousal maintenance and parenting agreements. These orders are final and they are enforceable and they remain on the Court file.
Alternatively, separated couples can document their agreement by way of a Binding Financial Agreement. This is a private contract with specific guidelines that are set out in the Family Law Act 1975 (Cth) around the drafting of the property agreement and/or spousal maintenance matters. Both parties need to have independent legal advice before signing a BFA, as well as meet other strict criteria for it to be enforceable. It is not approved by the court and may be more flexible than a consent order. Costs are usually higher than with consent orders.
When parties cannot agree on how to split property themselves, they often seek the assistance of lawyers to negotiate on their behalf. They may also use mediation or FDR to facilitate discussions around property matters, or work with collaboratively trained lawyers to work towards a resolution.
There are some parties who are unable to agree on the division of property between themselves despite negotiations between solicitors and/or mediation. This may be due to feeling they deserve more, that proposed agreements are unfair, difficulties with valuations or believing there are hidden assets. Challenges can also occur when one party is being difficult, there are family violence or ‘high-conflict’ dynamics or as a result of the personality of one or both of the parties where there may be inherent mistrust or a pattern of failing to cooperate.
In these instances, proceedings are issued and the matter takes its course in the Federal Circuit and Family Court of Australia. Mediation or dispute resolution is often required during the litigation process. Approximately 80% of cases resolve at or before mediation.
In the event that the matter does not resolve at or before mediation the Court case will proceed and may go to Trial, where each party and their witnesses give evidence and submissions are made. After hearing all of the evidence and submissions the Judge, in due course, will normally hand down their decision. The timing of the handing down of the decision depends on the complexity of the case. The Judge’s decision is final and can only be appealed in some situations, and appeal rights are subject to specific legal and procedural requirements.
Property settlement is rarely a simple calculation. There is a range of possibilities and outcomes, based on the facts, assets and circumstances of the relationship. We don’t just add the information into a machine that spits out the answer – it doesn’t work like that, there is no clear answer without clear information. It’s usually a range and we negotiate and work out what a solution might be within that range.
From your first free consultation with us, we start building a written, evolving assessment of your position, rather than giving you a vague percentage estimate with no working knowledge of the details. We call this our Proof of Evidence method, which is unique to Pearsons Lawyers’ working method. It sets out the facts, applicable law and determines a range we feel is realistic for your matter. As we obtain further information, such as property valuations, bank statements and super balances, we update the actual figures.
This document is central to your property settlement, helping us to give you consistent, real-time evidence based advice as your matter progresses. We use your Proof of Evidence through negotiations, mediation, and if necessary, court proceedings.
With this method, you can see how we reach the range we advise on, the information that supports it and factors that may change it as your matter progresses, such as higher or lower than expected valuations, or hidden debts. As the information is put together, your assessment develops with it, allowing a clear foundation for negotiating your settlement and testing proposals against the evidence, rather than assumptions.
If your property pool includes a business, trust, SMSF or other complex assets, we have the experience and expertise to help you manage your settlement. Book your first appointment for free, and we’ll help you understand the issues, your options and the likely next steps. We can offer flexible payment arrangements to some clients, including payment at the end of your matter, or in some cases, when a property is sold.
“What is important is that when a relationship breaks down, whether it is a de facto matter or a marriage, there is a very significant and substantial change in a person’s life at that point in time. That individual or those individuals are concerned about their future generally, and they don’t give much consideration to other important things like changing a will or attending to those sorts of other financial aspects that are also critically important.
Upon the breakdown of a relationship, whether it’s a marriage or a de facto relationship, it is important that a will is made to make sure that there is no claim by the former spouse on the estate. You should also consider making an enduring power of attorney and a medical power of attorney, and also contacting the trustee of your superannuation fund and make what’s called a binding death nomination.
That is, you tell the trustee where you want your superannuation and any life insurance to go in the event of your death. These matters are critical as they will fit hand in hand with any property settlement.”
Joseph Schepis – Principal Director
"We have a lot of experience tracing assets, finding cryptocurrency, and issuing subpoenas to banks and other organisations to find assets someone may not have disclosed. This can also be useful when assets are only in one name, and the other party has no idea where to start."
Leanne Abela - Principal
Know Where You Stand
1. Book Your Free First Appointment
Choose a time, an office or a video call. You’ll meet an experienced property settlement lawyer, not a salesperson. Upfront pricing, no hidden charges and no obligation, just a private conversation about your property and your options.
2. Talk Through Your Property and Your Options
Thirty minutes, one on one. Walk us through your assets, debts and any concerns about hidden or undisclosed property. Bring documents if you have them, though nothing is required. We’ll explain how the four step process applies to your situation.
3. Know Where You Stand
Leave with a clear picture of what’s in the property pool, your entitlements and the likely range for your settlement, built using our Proof of Evidence method. From there, the decision about what to do next is yours, made with real information instead of guesswork.
Know Where You Stand
During your free appointment with one of our experienced lawyers, we will:
Call our office or fill in the contact form to book your free appointment.
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With over 40 years resolving property and financial settlements, Leanne brings deep experience and steady, confident guidance to every case.
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An accredited Family Law Specialist since 1992, Joseph guides clients through complex property and financial settlements with clear, practical advice.
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Andrew brings hands-on business experience and sharp financial analysis to complex property settlements involving companies, trusts and detailed valuations.
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Amanda focuses on complex property settlements, skilfully assessing contributions and needs to adjust financial assets with practical, direct advice.
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News & Insights
Negotiating finalising and documenting a property settlement between separated couples usually involves a number of steps and sub-steps to ensure that the ultimate adjustment of property is, as...
YES! Since the commencement of the Family Law Act in 1975 (“FLA”) parties who separate have an obligation to provide what is known as “financial disclosure” to the other party. 50 years ago when the...
After the introduction of the Family Law Act 1975 (Cth) (“FLA”) in 1975 there were cases where domestic violence was taken into account but they were generally limited to where the violence was such...
Know Where You Stand
Often people think of houses, cars, shares and bank accounts as property. Property also includes interests in businesses and trusts, certain rights or claims, superannuation interests and a range of other financial assets. The definition of 'property' for the purposes of the Family Law Act is extremely broad and is essentially anything of commercial value.
You don't need to be divorced to start a property settlement. Married couples can settle their property as soon as they separate, without waiting for a divorce, and it often makes sense to get advice early, even before separating, so you have a clear picture of your finances going forward. De facto couples can apply once their relationship has broken down.
There are strict time limits for applying to the court for property orders, including consent orders. Married couples must apply within 12 months of their divorce order taking effect. De facto couples must apply within two years of the end of their relationship. After that, you need the court's permission to apply, and it is not always granted.
In the vast majority of cases parties are able to reach agreement about dividing property either through negotiations directly between themselves, with the assistance of a lawyer or with mediation (with or without lawyers). If an agreement can be reached it can then be formalised relatively quickly. If agreement cannot be reached Court proceedings may need to be commenced.
Before applying to the Court, parties must genuinely try to resolve the dispute, for example through negotiation or mediation, unless an exemption applies. Dispute resolution is also usually part of the Court process. Most cases resolve at some stage during the litigation process and often at mediation after there has been an exchange of relevant financial documents, identification of property and all the necessary property having been valued. If the parties cannot reach agreement then the Court will hear the evidence and it will decide how the property is divided.
Superannuation is counted as property in family law settlements, regardless of whose name it is in. It is assessed differently to other property such as a house because it cannot be mortgaged, sold or otherwise used for benefit today. It is different from other assets because access to the underlying funds is generally restricted until a condition of release is met.
Superannuation entitlements are often substantial in Australia, sometimes running into hundreds of thousands or millions of dollars. Superannuation is accumulated in both industry funds and increasingly in self-managed superannuation funds. Splitting it during a property settlement may be organised through a transfer from one party's super fund to the other, or balanced out with cash, property or other assets.
A property settlement can cost anything from $5,000 to hundreds of thousands for highly complex or contested matters that land in court. In most cases, legal fees will be relative to what is in the property pool. Most lawyers charge by the hour when managing a property settlement on your behalf. Depending on the experience and skill of your lawyer their charge per hour will vary. Most lawyers will be able to give an estimate of the cost that it will take to document a property settlement, and costs will vary depending upon the complexity of the matter. It is important that the lawyer you choose to work with informs you about the costs that they incur throughout the process so that you are at all times aware of the relative fees.
Yes, it's very important to document your settlement, and finalise things with consent orders or a BFA, because without doing so, either party may be able to come back later to make a further claim. We see people arrive all too often who thought they'd finished the financial side of things, but because nothing was closed off legally, the other party initiates a property settlement.
After reaching any type of financial agreement with your former partner about the division of property, have a lawyer check that it is fair, and if it is, have that agreement formalised and documented so that there is no dispute in the future. Selling property or dividing without having the agreement documented is extremely risky as even years later there may be a significant change in either party's financial circumstances and a further adjustment of property may be sought by a party when the other party thought that everything was finalised. Delayed settlements of this type can become complex and add unnecessary costs to finalising your matter.
There is no legal requirement for separating couples to engage a lawyer to finalise their financial matters, unless they are using a Binding Financial Agreement, which requires each party to have independent legal advice. It's definitely a very good idea to have a lawyer oversee your matter to ensure your rights are protected and you get a fair settlement.
If financial matters are resolved by way of a Binding Financial Agreement, parties must engage separate and independent lawyers who sign certificates that they have provided their respective clients with legal advice. If a property settlement is being documented by way of Consent Orders parties do not need to engage lawyers. However, engaging a lawyer is highly recommended to ensure that all of the relevant property is considered, to help negotiate a property settlement and to have the agreement properly documented.
Yes, de facto couples have property rights in Australia as long as the relationship is viewed as a genuine de facto relationship, which is set out in section 4AA of the Family Law Act 1975 (Cth). The court considers factors including the duration, nature and extent of the relationship, as well as the type of financial arrangements the couple had and if there are any children from the relationship. To apply for property orders, at least one of the following must also apply: the relationship lasted at least two years, there is a child of the relationship, the relationship was registered (for example, on the Victorian Relationships Register), or one partner made substantial contributions and not making an order would result in serious injustice.
Businesses and trusts can be included in a property pool but how they are treated can vary depending on the circumstances and each party's interest or control. They are not necessarily divided the same way as the family home would be. We can investigate complex structures, assess the nature and value of each interest, who controls it, any liabilities and the role that it has played in the overall property pool. When necessary, we can obtain valuations and advise on how the business or trust should be addressed when negotiating or determining your settlement.
If you suspect assets or income have not been disclosed, we can investigate the financial position and trace assets where necessary. Our forensic approach can help you identify undisclosed property, accounts, income or transactions before you negotiate a settlement.
Please be aware that our FAQs are provided for general information only and are not to be relied upon as legal advice. Please seek legal advice appropriate to your circumstances.
Get in touch and book your first appointment free. You can discuss your circumstances, understand your options and get a clear idea of your next steps. Payment options are available, including payment at the end of your matter, and in some cases, when a property is sold.
