UNDERSTANDING AUSTRALIAN REAL ESTATE OWNERSHIP Acquiring real estate is generally considered a wise financial investment. However, understanding property ownership is important to avoid complications down the line.
66% of Australian households owned their home with or without a mortgage in 2019-20. One in five households even owned one or more residential properties than their usual (1) residence. (1)
Based on the Housing Occupancy and Costs report on the ABS website
TYPES OF PROPERTY OWNERSHIP Sole ownership This refers to individual ownership or interest in a property vested in only one person. Tenancy in common Two or more parties share ownership of a property (shares may or may not be divided equally). Joint tenancy Both owners have equal interests and rights to a property.
COSTS TO CONSIDER The property purchase cost goes beyond the deposit and mortgage. Stamp duty or land transfer duty Goods and services tax (GST) Rates Building and pest inspection Conveyancing fees and/or legal fees
DOCUMENTS COMMONLY SEEN IN A PROPERTY TRANSACTION Handling the paperwork is just as important as finding the best financing options. Letter of intent Contract of sale Section 32 statement Foreign Investment Review Board (FIRB) approval and capital gains withholding
TNS Lawyers can advise you on which type of property ownership suits you best. We draft contracts that can protect you and your investment. Call 03 9052 3214 and let's talk about building your property portfolio. www.tnslawyers.com.au