DictionaryOwning

Community property: what it means

Community property, in the states that use this system, means the property either spouse acquires during the marriage, such as wages or a home; generally both spouses own it equally, no matter who paid. According to the IRS, the community property states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin.

In Spanish it is

Bienes gananciales (community property)

Also written as: community property state · marital community

Verified on October 17, 2026

4 official sources

See the whole dictionary

The full explanation

It also affects your mortgage: on an FHA loan, if you live or buy in one of those states, your spouse's debts count in your qualifying ratios even if your spouse does not sign the loan, except debts state law excludes.

An example

Carlos buys a home in Texas with an FHA loan in his name only. Even though his wife does not sign the loan, the lender counts her car payment in Carlos's debt-to-income ratio.

You will see it in…

The mortgage application, if you are married and live in a community property state
The deed, when it says “community property” or “community property with right of survivorship”
The tax returns of married couples who file separately

Words that go with it

You will rarely see this word alone. These are the ones that show up with it on the same papers.

Still confused by a paper?

A HUD-approved housing counselor can walk you through it. Agencies usually charge little or nothing, many work in Spanish, and they do not sell you anything.

What a housing counselor does See free help

Official sources

We sum up what these official sources say, in plain words. We add no rules they do not state; when a rule changes, the definition and its date change.

1. Legal Information Institute (Cornell Law School) · Wex: community property (external site) · in English · Verified on October 17, 2026
2. IRS · Publication 555: Community Property (external site) · in English · Verified on October 17, 2026
3. HUD · HUD Handbook 4000.1, II.A.4: Non-Borrowing Spouse Debt in Community Property States (external site) · in English · Verified on October 17, 2026
4. Arizona State Legislature · Arizona Revised Statutes § 33-431: community property with right of survivorship (external site) · in English · Verified on October 17, 2026