Joint venture.

Viewing 8 posts - 1 through 8 (of 8 total)

munmun5
Participant
@munmun5
Join Date: 2011
Post Count: 65
December 2, 2013 - 3:52 am
Hey guys,
Im entering a joint venture with another guy who is the money partner. Aside from getting the appropriate legal paperwork for the JV done up etc what I was wondering is can I put conditional offers on places under my name then when it goes unconditional it goes under his or do I put an offer in under his name from the start?
Thanks in advance.
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
December 2, 2013 - 11:48 am
Depends what you mean by 'offer'. If you are signing a contract you would need to sign it and enter the contract in the name of the legal owner. If he is the money partner wouldn't you be the one on the title?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
munmun5
Participant
@munmun5
Join Date: 2011
Post Count: 65
December 2, 2013 - 11:33 pm
Hey terryw, All the finance will be via the money partner. I was meaning going conditional in my name does that still allow me to go unconditional in his name? Or should I just get him to put the offer in? Any advice would be great.

Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
December 2, 2013 - 11:46 pm
If you are signing a contract you would need to sign it and enter the contract in the name of the legal owner. This means whoever will be on title needs to go on contract. If you change names on a contract you could be up for stamp duty twice.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
wilko1
Participant
@wilko1
Join Date: 2010
Post Count: 510
December 3, 2013 - 12:53 am
Wouldn't "and or nominee " work in this situation. Then just assign through your solicitor to the person who is purchasing the property. Or is that just something you don't want to do with a money partner in case they leaving you holding the bag.
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
December 3, 2013 - 12:55 am
wilko1 wrote:
Wouldn't "and or nominee " work in this situation. Then just assign through your solicitor to the person who is purchasing the property. Or is that just something you don't want to do with a money partner in case they leaving you holding the bag.
Be very careful or this could result in double stamp duty
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
wilko1
Participant
@wilko1
Join Date: 2010
Post Count: 510
December 3, 2013 - 1:09 am
Is that because he could of been seen as "finding" the property to onsell to the current money partner
If no consideration is passed between the two would it still constitute a onsell?
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
December 3, 2013 - 3:03 am
wilko1 wrote:
Is that because he could of been seen as "finding" the property to onsell to the current money partner
If no consideration is passed between the two would it still constitute a onsell?
It would be, possibly, treated as an onsell. But, I think in Victoria there may be duty concessions if it was sold at the same price – possibly no additional duty. Don’t think this would occur in NSW.
Vic has many nice stamp duty laws!
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au