Transferring a Property Title in Queensland: From One Name to Two, or Two to One
There are plenty of reasons you might need to change the names on a Queensland property title. You might be getting married, separating from a partner, adding someone to the family home, buying out a co-owner, or changing your ownership structure as part of your estate planning.
Whatever the reason, transferring a property title is more than simply changing a name. It is a formal change of legal ownership, with conveyancing, transfer duty and potentially lender requirements to consider.
What does a property title transfer involve?
Property ownership in Queensland is recorded on the title held by Titles Queensland. To change the registered owners, a Form 1 – Transfer and relevant Form 24 – Property Information generally need to be prepared and lodged.
Even when no money changes hands, the transfer may still be subject to transfer duty. It is important to establish whether duty applies or whether an exemption is available before proceeding.
Why might you transfer a property?
Common reasons include:
Adding a spouse or partner to the title
Removing a former partner following separation
Transferring a share of the property between family members
Buying out another co-owner
Changing the ownership structure for estate planning
The reason for the transfer can affect the documents required and the transfer duty treatment.
Will transfer duty apply?
Transfer duty depends on the circumstances of the transaction.
Certain transfers between spouses may qualify for an exemption, including some transfers involving a principal place of residence. Exemptions may also apply where existing owners are simply changing the way they hold the property, such as changing between joint tenants and tenants in common, without changing their underlying interests.
However, adding someone who was not previously an owner or transferring a share as part of a buyout may result in duty being payable.
If you believe an exemption applies, it is important to confirm that you meet the relevant requirements before signing.
Joint tenants or tenants in common?
If more than one person will own the property, you will generally need to decide whether to hold it as joint tenants or tenants in common.
With joint tenants, the surviving owner or owners will generally receive the deceased owner's interest automatically.
With tenants in common, each owner has a defined share, which can be equal or unequal. That share generally forms part of the owner's estate and can be dealt with through their Will.
This decision can have important estate planning consequences, so it is worth reviewing your Will when changing your property ownership.
Don't forget the mortgage
If there is a home loan attached to the property, speak with your lender early.
The lender may need to reassess the loan, the remaining borrower's ability to service it, or the proposed ownership structure. This is particularly important when removing a former partner from the title.
You should also consider any Capital Gains Tax implications, update your Will, and make sure your property insurance reflects the new ownership.
How Jet Legal can help
Changing the names on a Queensland property title is common, but it needs to be done correctly.
Whether you are adding a partner, removing a former partner, transferring a share or changing your ownership structure, Jet Legal can help you navigate the conveyancing requirements and get the transfer set up correctly from the start.
Thinking about changing your property ownership? Contact Jet Legal before you sign anything.
This article is general information only and does not constitute legal, financial or tax advice. Transfer duty and other requirements depend on the circumstances of each transaction. We recommend obtaining appropriate professional advice before transferring an interest in property.