5. Property & Asset Division (2026 Rules in Force)

Agreed: You and your spouse decide the division freely — the court will enforce reasonable terms without interference.

No agreement: The court applies the Civil Code (Articles 1062–1065) and considers factors such as contributions, needs, fault, and marriage duration. Recent reforms have shifted how courts handle property and children in divorce cases. These changes are now strictly applied in 2026 — here are the points that matter most to expats and foreigners:

Real estate (houses/apartments) — The Supreme People's Court Interpretation (II) (effective Feb 1, 2025) provides specific rules:

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• Title registration and documented financial contributions (bank transfers, receipts, contracts) carry more weight.

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• Non-financial contributions (homemaking, childcare) have little or no automatic claim on personal assets (e.g., house bought and paid for by one spouse prior to getting married). However, the possibility to separately claim for compensation does exist. 

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• Pre-marital houses gifted to one spouse (e.g., a house fully funded and paid for by one spouse’s parents and registered/titled only in that spouse’s name with clear intent that it belong only to their child) generally remain the individual (personal) property of that spouse and are not divided upon divorce. What counts as "intent" depends strongly on evidence (e.g., written agreement).

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Exceptions (when the other spouse may claim a share):

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1. The asset is commingled with joint marital funds (e.g., marital income used to pay the mortgage, renovations, or taxes).

2. The asset is improved using joint marital funds or labor in a way that demonstrably increases its value.

3. There is clear evidence of direct financial contribution from the other spouse (e.g., bank records showing their salary paid part of the purchase or ongoing costs).

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Inheritance: When received during the marriage,  inheritances are generally treated as joint marital property unless the testator specifically declared that only one spouse was to inherit.

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Declaration: Mandatory full truthful declaration — hiding, transferring, or squandering can lead to penalties or loss of share.

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Other marital property (acquired during marriage: bank accounts, stocks, crypto, investments, vehicles, etc.):

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• Courts generally divide based on fairness, considering contributions, needs, fault, and marriage duration (Civil Code Art. 1065).

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• There is no automatic 50/50 presumption, although the outcome may be 50/50.

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• Title and documented contributions are important but not as strictly decisive as in housing cases.

• Pre-marital assets, inheritances, and gifts to one spouse usually stay separate unless commingled or improved with joint funds.

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• Mandatory full truthful declaration applies — concealment or squandering can reduce or eliminate your share.

Trace and document everything early — especially for real estate and high-value items. Expert help is essential to avoid surprises and ensure your contributions are properly proven.

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Concerned about your real estate or assets? Book a free 15-minute review — we’ll explain your exposure in minutes.