Imagine the following scenario:
The answer is that the courts have been divided on this issue.
In the case of Remmem v. Remmem, 2014 BCSC 1552, the court found that the entire value of the home was "excluded" family property and used "tracing" rules to justify its decision. See para 52 below: ....
In layman's terms, the "presumption of advancement" is a legal principle that essentially states that a transfer of property from one spouse to another is a gift to the receiving spouse to be owned by the receiving spouse.
However, in the case of Wells v. Campbell, 2015 BCSC 3, the court came to the opposite conclusion. The court found that the home was "included" family property and was subject to division between the parties. The court differentiated the case of Remmem above and emphasized that the finding in the case was limited to the facts of the case. See paras 36 to 38 below :..