What effect does the use of community assets to pay for repairs on the vacation home property have on the titling of the vacation home at Tim's death? Since it was owned fee simple by Clara she owes a debt of one half the costs to Tim's estate It is a commingled asset because she used community property to maintain it. However, since she inherits it will not matter. It was inherited property so it does not matter if she uses community property assets to maintain. It will still be considered separate property. Vacation Home - This home is owned by Clara (fee simple). - Clara inherited the home from her mother who paid $75,000 for it. The fair market value at the date of transfer to Clara was $125,000 in July 2003. The current fair market value is $200,000. - The vacation home is located in a noncommunity property state. All payments for repairs and maintenance have been made by using community property assets..