Dr. Muzammil H. Siddiqi, former President of the Islamic Society of North America, states: “When a couple live together as husband and wife, there are many things that the wife brings from her family or receives as gifts from her relatives and friends.
In a similar way, the husband has many things that he purchases or gives as gifts. There are many things that the both of them acquire during their married life. The rule is that whatever belonged to the wife will be given to her in the case of divorce and whatever belonged to the husband will be given to him.
As far as the common property is concerned, that should be divided with mutual understanding and consent. They both should be kind and considerate in this matter. The Qur’an says, “Keep your duty to Allah as best as you can and listen and obey and spend. That is better for your soul. Whosoever is saved from his own greed, such are successful people.” (At-Taghabun: 16)
Also, Allah says, “And those who made their abode in the city and in the faith before them love those who have fled to them, and do not find in their hearts a need of what they are given, and prefer (them) before themselves though poverty may afflict them, and whoever is preserved from the niggardliness of his soul, these it is that are the successful ones.” (Al-Hashr: 9)
In another verse, Allah says, “And if a woman fears ill-usage or desertion on the part of her husband, there is no blame on them, if they effect a reconciliation between them, and reconciliation is better, and avarice has been made to be present in the (people’s) minds; and if you do good (to others) and guard (against evil), then surely Allah is aware of what you do.” (An-Nisa’: 128)
Although there is no concept of community property in Islam, at the time of divorce, the possessions are not necessarily divided half and half. But if both parties agree to this arrangement, it is not forbidden.”