Example: Adding a long term partner to your property
John and Ling have been dating for 3 years and are ready to move in together. Ling already has a property in Dee Why, Sydney worth $750,000 while John lives with his parents. The agreement is that John will move into Ling’s property and start making 50% towards the monthly repayments.
Ling has paid $50,000 worth of repayments and provided a $100,000 deposit. She now owns $150,000 worth of the property, which means she owns 20% of the property.
Ling and John first approach the lender to see if they can get approval to get a joint loan. After reviewing their finances, the lender consents to adding John’s name to the title and mortgage. The lender also works with a third party legal service to obtain all the legal documents and a draw up a "tenants in common" agreement. This allows them to specify how much each person will own.
They decide that Ling will own 60% of the property (including the portion she already owns) and John will own 40%. After Ling and John fill in the appropriate paperwork and pay the transfer fee of $350, the house is now under both of their names.
I have just bought a house in W.A, can I add my grandson to the title, no mortgage,
Hi Sharon,
Yes, you can add your grandson to the title of your property even without a mortgage. However, doing so is legally considered a partial sale or gift, which means there are tax, legal and financial implications to consider, including payment of stamp duty and impacts to your pension. It would be worth contacting your local State Office of Revenue to discuss your personal situation and see what the costs involved could be. Before making any changes, it is highly recommended that you consult a qualified tax accountant and a property lawyer. Best of luck.
Hi I want to add my son name into my property in SA as joint ownership. He never bought a house before. Do I need to pay stamp duty? Thanks
Hi Helen,
In South Australia, if he’s an eligible first home buyer he can get a full stamp duty exemption, meaning no stamp duty is paid regardless of the property’s value. However once you add him as an owner on your property, he will no longer be eligible for a stamp duty waiver, as he’s no longer considered a first home buyer. Hope this helps!
Paying my mortgage out end of the month & would like to add my new wife to the title, is it advisable to do this before mortgage is payed out or after Thanks
Hi Sparra,
When you pay off the mortgage you’ll need to fill out a discharge form, which removes the lender from the title. It might be easier to wait until there’s no mortgage before adding your wife to the title. But I suggest speaking to a conveyancer to get expert help.
Hi,
We own our house as Joint tenants in Sydney, NSW, with equal shares, and now would like to add on Major son onto the title deed. The unit is fully owned by us, with no O/S debt.
How do we do this and does Stamp Duty payable on this transaction.
Is there any more info we need to be aware of, please.
Thanks & Regards
Hi Aubrey,
As noted in this article, to transfer property ownership will incur stamp duty. If it’s your son’s first home, he may be eligible for a stamp duty discount or waiver. Your best bet is contact the Office of State Revenue and explain the specifics of your situation, and they can advise you on what your stamp duty obligations are likely to be.
Best of luck!
My wife and I want to take out ‘Homesafe’ with a view to hep pay out the mortgage with the bank. The bank will not allow my wife to be on the title saying if I become deceased she would not be able to finance the loan( in the future)
This is a dilemma as ‘Homesafe’ wants both names to be on the title. If they were then we could pay off the loan. We are in a bind.
Hi Robert, This is a tricky situation. If the bank won’t agree to changing the title, there’s not a lot you can do directly. Equity release schemes such as Homesafe should be considered carefully, as ultimately you are giving up part of the title in your property. If you are concerned about mortgage payments, other options would include selling your current property and moving somewhere less expensive, or refinancing to make the payments more manageable. It might make sense to chat with the National Debt Helpline on 1800 007 007 and explore other options.