澳洲Australia property Not 50:50 owership in VIC | Sydney


在澳大利亚 I need some advice regarding a property purchase. Property - semi-detached house Bedrooms - 2 Condition - average needs internal reno to modernise Street - one of the best in suburb Location - excellent Close to schools - yes Transport - 50m The pool at of an IP needs to be resurfaced (or so the pool doctor says), the cost was estimated to be $10K ($10,000), after recoverying from my impresssion of a cat coughing up a fur ball, it just seems far too much. Its just a standard poo


Hi all,

Can anyone please let me know how I can find out if a sales contract is not owned in 50:50 shared between joint oweners.

When I purchased my IP, I did categorically instructed my solicitor that I wanted 95% to 5% owenership between myself and wife. This would work very good for the tax purposes. But my sales contract do not specify that. How can I find out if at all my solicitor did the way I instructed or not? Thanks

Regards
MohanWei  

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Hi Mohan

If your Contract of Sale nominates "Joint Tenants" then your instructions have not been carried out.

If your Contract of Sale nominates "Tenants in Common" then your instructions are likely to have been met, but you should check with your solicitor regarding the actual percentages.

Cheers, Paul  

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Thanks Paul.

If my instructions are not carried, what are my options. If it is 50:50, we will miss lot on tax returns as my wife do not work.

Regards
MohanWei  

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MohanWei said: ↑
If my instructions are not carried, what are my options.Click to expand...
If your instructions have not been carried out then you have an action against your solicitor - and he can make good at his own expense or you can make a claim against him via the Legal Services Commissioner.

In VIC: http://www.lsc.vic.gov.au/cms.php?user=legalservicesvic;doc=Home;page=Contact Us  

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Thanks a lot for the reply.

Regards
MohanWei  

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The ownership split wouldn't be on the COS but instead of the Transfer of Land. A quick call to your solicitor should be able to clear this up or a slightly longer call to your lender (NAB I believe).  

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MohanWei said: ↑
...When I purchased my IP, I did categorically instructed my solicitor that I wanted 95% to 5% owenership between myself and wife. ... But my sales contract do not specify that. ...Click to expand...


Hello Mohan

When you bought the property you would have instructed the Estate Agent as to the identity of the purchasers

It seems that you have told the Agent that the buyers are Mohan Wei and Mrs Wei.

All well and good. That is about all that a Contract of Sale can show.

The details of the matter, as Bradsdad has pointed out, are specified in the Transfer of Land.

You can check that your Solicitor has drawn up the Transfer according to your instructions by looking at the copy prepared by them and signed by you.

If the Transfer was not prepared correctly, you would not have signed it.

If, for some reason, you signed the Transfer without checking spelling, details of ownership, etc, and if the purchase has now settled, you can do an on line Title Search at [email protected] or as provided by propertunity

However, keep in mind that property investing is a long term investment, and can take many different actions over the life of the property

You are wanting the proprietorship of the property to reflect the current tax situation, but this can change with the Government or eg you could give up work and Mrs Wei could become the breadwinner, which would make the 95%/5% ownership counter productive.

You may sell the property for a profit, which would mean that you would pay more tax on the capital gain than if the proprietorship was as Joint Tenants with a deemed benefit of 50% each

Or the rent income may increase quicker than anticipated resulting in the tax benefits disappearing and you paying tax on the positive cash flow

Investing is not about 'tax benefits'. These can evaporative like the dew on the grass in the morning light.

Property investing is about a lot more than 'negative gearing' or 'depreciation' or 'negative gearing for a positive cash flow' or whatever.

Remember: If you have bought as Tenants in Common with agreed shares of the property, there is no automatic Rights of Survivorship so make sure that both you and Mrs Wei have current Wills and also that you each have Life Insurance to cover your share of the liability

Joint Tenancy is a much simpler arrangement but each purchaser makes their own decisions. Once you have embarked on the Tenants in Common road make sure you understand and act on all the matters which then need to be addressed.

Of course, you sought professional advice prior to making the purchase of the property and your Accountant would have discussed the tax situation with you both and your Solicitor would have discussed Estate Planning with you when you consulted with them.


Hope this helps
Kristine  

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MohanWei said: ↑
Thanks Paul.

If my instructions are not carried, what are my options. If it is 50:50, we will miss lot on tax returns as my wife do not work.

Regards
MohanWeiClick to expand...
you can always change in victoria after settlement for about $300, no stamp duty, don't stress  

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