Family lawyer Bronwyn Montgomery on settlements, the family home, timing a sale and buying again after a relationship ends

Behind every property transaction there is a story. Sometimes it is a first home, sometimes a downsize, sometimes the next step in a growing family. And sometimes it is the end of a relationship, when one of the largest financial decisions a person will ever make has to be made at the very moment they feel least equipped to make it.

Separation is a reality for a great many Australians, and it almost always brings property into the conversation. Who stays in the family home? Does it have to be sold? What about the house one partner owned before the relationship began? And what happens when it is time to buy again?

In this episode of Property, Straight Up, Mel Dennis, cofounder of Domain & Co, sits down with Bronwyn Montgomery, Partner at Farrar Gesini Dunn, to work through what really happens to property when couples part ways. Bronwyn has practised exclusively in family law for more than ten years, and her message is clear from the outset: there is no automatic 50/50 split, and the earlier you get informed advice, the more control you keep over the outcome.

Meet Bronwyn Montgomery

Farrar Gesini Dunn is predominantly a family law firm, and Bronwyn’s work covers the full span of family law matters, from parenting and property through to complex and high conflict disputes. Her clients come from all walks of life. Some are at the start of a relationship and want to protect assets for the future. Others are growing their family through surrogacy, donor arrangements or adoption. But by and large, most of the people who walk through the door are dealing with separation.

Mel describes what she values in Bronwyn’s approach as something beyond the legal process: helping people move through a difficult period with clarity and support. It is a sentiment that runs through the whole conversation.

The Case for Planning Early

The first point Bronwyn makes may surprise some listeners. Family law is not only for the end of a relationship. Couples who put an agreement in place early, while things are good, often find that any future separation is far less fraught.

An early agreement gives both people clarity and certainty about what will happen to assets, finances and property if the relationship ends. It sets the tone, removes much of the potential for conflict, and there is a good deal of flexibility and creativity in how these agreements can be structured.

“If you can remove that piece from it, or at least make that a bit simpler, then that’s ultimately going to be for the best.”

Bronwyn Montgomery, Farrar Gesini Dunn

As Bronwyn points out, separation is emotionally difficult enough without adding a financial dispute on top of it. An agreement made early is an investment, and in most cases a far better option than negotiating from scratch when emotions are running high.

What Goes Through People’s Minds at Separation

When people first separate, their thinking tends to fall into two timeframes. In the short term, the questions are immediate and practical: who will live where, who will pay for what, and does anything need to be protected right now? In the longer term, people start asking what everything will look like at the end of the process, who will hold what on a final basis, and how they will rebuild their future from there.

Children add another important layer to every one of those decisions. And because no two matters are alike, Bronwyn stresses that there is no one size fits all answer. Some clients arrive with an amicable situation and simply need advice to make sure they are doing everything properly. Others face real complexity and conflict, and need professional help to work through it.

Why Your Own Agreement Usually Beats a Court Decision

Mel raises a point that anyone who has been through a separation will recognise: two people with a shared home and perhaps shared children need to reach a decision together, or someone else will make it for them.

Bronwyn is unequivocal that reaching an agreement is almost always the better path. That does not mean both parties will be entirely happy. There are usually compromises and sacrifices on both sides. But whether an agreement is reached directly, with the help of solicitors, or through a mediator, it generally produces a better result than having a court impose one.

“It generally is a last resort, because you lose a bit of that control.”

Bronwyn Montgomery, Farrar Gesini Dunn

Sometimes court is genuinely necessary, and when it is, it has to happen. But as Mel puts it, a court may well make a decision you are less happy with than one you could have reached yourselves.

 

The Myth of the Automatic 50/50 Split

Perhaps the most important point in the episode, and the one that gives it its title, is that the Australian system has no default setting. Two of the most common misconceptions Bronwyn encounters are that everything will simply be sold and divided down the middle, or that each person will just keep whatever is in their own name. Neither is how it works.

There are certainly cases where an equal split turns out to be the just and equitable outcome. But it is not the starting point. Instead, the whole picture is weighed up, including:

• All of the assets held at the time, regardless of whose name they are in or how they were acquired
• Financial contributions each person made during the relationship
• Non financial contributions, including contributions as a parent or homemaker
• Current and future circumstances of each party, such as earning capacity and the care of children

This approach, long applied by the courts, was formally written into the Family Law Act 1975 when reforms took effect on 10 June 2025, giving separating couples and the Federal Circuit and Family Court of Australia a clearer statutory framework. The core idea is unchanged: the outcome depends on the particular circumstances of each relationship, not a formula.

Can a Partner Claim a Home You Already Owned?

This is one of the questions Mel hears most often. If you own a home and a partner moves in, at what point can they have a claim on a property that was never theirs to begin with?

Bronwyn’s answer is that it depends on a range of factors: whether the couple is married or in a de facto relationship, how long the relationship lasted, whether there were children, and what contributions were made to the property directly or indirectly over that time.

Her general rule of thumb is a useful one. The shorter the relationship, the more weight is likely to be given to the fact that one person brought in a significant asset. The longer the relationship, the less relevant that initial contribution may become, because so much else happens over the years and people contribute in many different ways. The court system recognises this and makes adjustments accordingly.

“If you’re entering into a relationship, you shouldn’t be assuming that anything will be excluded.”

Bronwyn Montgomery, Farrar Gesini Dunn

There is also no automatic rule that values a property from the date a couple got together and quarantines everything before it. Separating couples can agree to draw a line in the sand, value particular assets at particular dates, or notionally set an asset aside from negotiations, and that is perfectly workable if both agree. But you cannot assume the other party will agree, and it is not the approach a court would take. Without an arrangement in place, the standard process applies: everything goes into the pool, and contributions and circumstances are then weighed up. That is precisely why Bronwyn encourages people to think about protection early.

Timing a Sale: Quick, or Considered?

When it comes to selling the family home, Bronwyn says timing is highly individual, and she describes two ends of the spectrum.

At one end are separations where the property needs to be sold quickly. The parties may need to free up cash, fund other costs, or simply cannot carry the holding costs while one person moves out. Supporting two households on what used to fund one creates real financial strain, and there may also be tax considerations that favour a prompt sale. In these cases there may be little time to prepare the property as well as the owners would like.

At the other end are couples who are more financially secure and agree there are good reasons to hold on for a while. A common example is a child in their final year of VCE, where both parents agree the home will be sold, but not for six to twelve months so that school can be completed without disruption. Others, without specific time pressure, may choose to watch the market and time the sale to suit conditions.

Bronwyn is careful to note that any delay should not stretch on indefinitely. A central part of the family lawyer’s role is to help people separate financially so they can both move forward. From an advocacy perspective, this is exactly where independent property advice earns its keep: understanding what the market is doing, how best to prepare and present the home, and which campaign approach suits both the property and the circumstances.

Buying Again After Separation

For many people, the settlement is only half the story. The next question is whether, and how, to buy again. Bronwyn’s first recommendation is financial advice. If you have not kept the family home but have received a cash settlement, it is worth asking whether re entering the property market is the right move, or whether your money would serve you better elsewhere.

Mel observes that in many relationships, one person tends to manage the finances while the other focuses on different responsibilities. Bronwyn agrees, and notes that for some clients, separation is the first time they have been directly responsible for large sums of money or a property. Getting the right advice before making big decisions is essential.

If buying again is the right path, Bronwyn suggests thinking through several questions:

• What is the right property for me now? Circumstances have changed, and so may the ideal home. Independent property advice helps here.
• Who is contributing? Is it just you, or is someone else, such as a new partner, contributing to the purchase price?
• How will the title be registered? The structure of ownership matters, particularly in a new relationship.
• Should there be an agreement? Having been through one separation, a clear agreement can make any future separation a simpler process.
• Is your estate plan up to date? Family law agreements cover your life and relationship, but your will needs to reflect your new circumstances too.

 

Building the Right Team Around You

Both Mel and Bronwyn return repeatedly to the value of support. Separation is an intensely emotional time, and the legal process itself can be confronting. That calls for personal support from friends, family and professionals such as a psychologist, as well as the right expert advisers.

Bronwyn is clear that getting advice does not mean you must follow it. The value lies in walking into the situation informed, so that whatever decisions you make, you make them with ownership and agency.

“You don’t always have to agree with your advisors, but at least you’re taking agency over that.”

Bronwyn Montgomery, Farrar Gesini Dunn

Mel draws a direct parallel with buying property: going in with your eyes wide open, so that nothing down the track comes as a surprise. Beyond family law advice, Bronwyn often refers clients to accountants, financial planners, mortgage brokers, Buyer’s and Vendor’s Advocates and conveyancers, depending on what a particular matter needs.

Mel shares that Domain & Co has worked with many separating couples on both the selling and the buying side. At one end, the process is amicable, and both parties value having a single, independent set of advice they can each rely on. At the other end, the couple may not be speaking at all, and the advocate becomes the conduit between them so that both can take the next step. Bronwyn describes this role as a circuit breaker: someone pragmatic who can guide people through difficult conversations and decisions.

She also emphasises finding professionals, and particularly a lawyer, who genuinely understands you, listens to what you want, and brings a human lens to the strategy. In complex matters, you may be working together for years, so the right fit matters.

The Biggest Mistakes People Make

Asked about common mistakes, Bronwyn highlights a few that come up again and again:

• Not acting proactively on property in the other person’s name. If a property is not in your name and you are concerned about it, this needs attention early. There is a common assumption that lodging a caveat will simply solve the problem, but it is considerably more complicated than that and is not always an option.
• Not thinking through the living arrangements. Whether you remain separated under one roof or one person moves out can have implications for the settlement and the wider negotiations.
• Wanting to keep the home without checking it is realistic. If you hope to retain the property, get financial advice early to confirm it is achievable and a sound decision for your future.
• Assuming a cookie cutter approach will work. Every property matter is different, and strategy should be tailored to your facts and to what actually matters to you.

The First Step If You Are Separating Now

For anyone listening who is going through a separation and feeling unsure, Bronwyn’s advice is simple: reach out and get some initial legal advice. You may not get a precise answer on every issue or your exact entitlements straight away, as these matters develop over time. But you will understand what is involved and where you stand, and you can begin building a relationship with someone you trust.

That early advice is valuable even if you ultimately choose to negotiate directly or go to mediation. And whatever route you take, any agreement needs to be properly documented by a lawyer. That ensures it is binding, enforceable and clear about what must happen and when, so nobody can come back and reopen it five or ten years later.

Proper documentation can also carry a very real financial benefit. In Victoria, transfers of property made because of the breakdown of a marriage or domestic relationship can qualify for an exemption from land transfer duty, subject to the State Revenue Office’s requirements. Getting the paperwork right is part of what makes that possible.

“There’s no harm in getting legal advice early and there’s really only upside.”

Bronwyn Montgomery, Farrar Gesini Dunn

 

Key Takeaways for Property Owners Who Are Separating

• There is no automatic 50/50 split. Outcomes depend on all assets, contributions and future circumstances.
• A home owned before the relationship is not automatically excluded, particularly in a longer relationship.
• Reaching your own agreement generally beats a court decision, because you keep control of the outcome.
• Timing a sale depends on your circumstances. Balance financial pressure, family needs and market conditions.
• Act early if a property you are concerned about is in your former partner’s name.
• Have any agreement properly documented so it is binding, enforceable and final, and so duty exemptions can apply where eligible.

Key Takeaways for Anyone Buying After Separation

• Get financial advice first to confirm that buying is the right move for your settlement funds.
• Reassess what the right property looks like now that your circumstances have changed.
• Think carefully about who is contributing and how the title will be registered.
• If a new partner is involved, consider an agreement from the outset to protect both of you.
• Update your will and estate plan to reflect your new situation.

Final Thoughts

Separation rates in Australia are far from small, which makes this one of the most important conversations in property, even if it is one of the hardest. The consistent thread through Bronwyn’s advice is that information is power. Understanding how settlements are really weighed up, getting advice early, and surrounding yourself with the right professionals allows you to make decisions with clarity rather than in crisis.

If you are navigating a property decision during a time of change, whether selling the family home or buying your next one, the team at Domain & Co is here to help you take that next step with clarity and confidence. To connect with Bronwyn, visit her profile at Farrar Gesini Dunn.

 

This article is based on It’s Not Always 50/50: What Really Happens to Property When You Separate, Season 1, Episode 13 of Property, Straight Up, brought to you by Domain & Co. It is general information only and not legal or financial advice. Please seek advice tailored to your circumstances.