Selling share of property to partner

[sydneydave]

Hi all...new to this site and am wondering if anyone can give me some help? My ppr is heavily mortgaged and I want to sell a share to my partner - seeing as she's living there and paying me rent anyway and would only buy her own ip instead. That will reduce my level of risk and if I wish, I can use the extra equity to fund another ip.
My question is...can I do this and avoid her having to pay stamp duty & mortgage application fees etc? As I already have a mortgage in place, I am hoping I can have a contract written up whereby she takes over a portion of the payments and becomes entitled to a share of the property. Would this be possible?
Any advice would be greatly appreciated .
regards, Dave

 

[Meisterin]

1. You could probabaly transfer half interest to her without incurring any stamp duty if you are in de facto relationship and both of you are living there (but this has to be joint tenants and can't be tenants in common). All you have to do is see a solicitor and he will charge you nominal fees.

2. The problem is with your bank. You will probably have to refinance with the bank as your partner name must show on the mortgage.This could cost a bit since you will have to pay stamp duty on mortgage and other loan setting up costs.

Hope this helps.

 

[sydneydave]

Thanks for the transfer info, Hiflo . I had figured I'd still be up for mortgage stamp duty etc.

 

[kathryn d]

Tax wise, wouldn't your partner be better off buying an IP?