Hello everyone – my first post here, I hope you can help!
My ex and I are amicably separated and we have come to an agreement together on what will happen to our Melbourne home. The plan is that I will buy out his share of the current equity. My query is around the mechanics of the situation. From what I have learned, the steps appear to be:
– Approach the bank and make sure they are happy for me to take over the mortgage in my name only
– Deal with the Land Title by completing a T1 transfer from Husband to Wife and submit myself
– Change the mortgage to my name onlyThese steps seem pretty straightforward, and I'd like to handle myself if I can. I know this forum is not intended to give legal advice, but I'd really appreciate any advice people can give me. I guess I'm worried if I'm being naive about the legalities and whether it's appropriate for me to do this kind of spouse transfer if we are separated but not yet divorced.
Thanks very much.
Thats about right
However you'll also need to have the transfer assessed by the State Revenue Office which should note on the transfer that, in this instance, should be excempt. You should be able to find how to do this on the SRO website
You may find that Land Titles Office will not register the transfer until it has the appropriate stamp from the SRO
Your Bank/Lender may also (ie should) wish to discharge the existing mortgage in joint names and register a new mortgage in your name only. Once the transfer is stamped the Bank may also lodge the transfer on your behald when they discharge/re-register their mortgage
In Vic transfers between spouses can be stamp duty exempt. But if you are no longer spouses then this may not apply.
But there will be provision for exemption from duty for a transfer as a result of a break up of a relationship. But to get this the commissioner of duties may need to be satisfied that it is a break up, unless you have a binding financial agreement or a court order.
So I guess the first thing to do would be to call the OSR and try and find out and to also look at the Duties Act (vic)
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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