Category: Property Law

Assets Co-ownership Explained – Property Law

In this article, our professional property rights lawyers explain all you need to know about property co-ownership. We believe that with adequate knowledge about private property, the law relating to personal property, common law principles, and your general legal rights, you will be well-positioned to make good choices as a property owner.

Getting Started with Real Property.

When it comes to trying to get a foothold on the property ladder as a first-time home buyer, we can all agree that it is one of the most challenging times in recent history. Because of rising home costs and stagnant wage growth, it takes the typical millennial thirteen years to accumulate enough money for a down payment on a house or apartment.

With over 90 percent of millennials wanting to own their own house yet 50 per cent of you feeling apprehensive about the future, we have prepared enough guides and instructions to assist you in navigating the home-buying process.

By providing advice that is both sound and up-to-date in terms of property law, our mission is to broaden access to the American dream of house ownership. Their aim is to be the industry leader in tackling the problem of housing affordability in major cities all over the world, and they are working to create a society in which renters and owners are on equal footing.

There are a number of property platforms that are centered around property co-ownership and provide a service that assists you in purchasing property together with another party. However, it is always preferable to always consult Chamberlain’s property lawyers for adequate guidance on whatever method or approach you to want to take in order to own a property piece.

What does it mean to co-own a property?

Co-ownership of real estate refers to the situation in which more than one individual holds an ownership stake in the same piece of property. By sharing this information with others, you may be able to reduce the cost of a deposit (as well as other unexpected costs associated with purchasing a home, as explained in our blog posts here); by combining multiple incomes, you may be able to qualify for a loan or mortgage; and by paying off your mortgage on your own home rather than paying rent to pay someone else’s mortgage.

In terms of the law

Tenancy in common and joint tenancy are the two primary forms of co-ownership that can be utilized when purchasing real estate together. Joint tenancy ownership is a kind of property ownership that is typically utilized by co-owners who are married or who are in a committed relationship. 

When purchasing real estate in this manner, the purchasers will jointly own one hundred per cent of the property, and in the event that one of the co-owners passes away, the other co-owner will take sole ownership of the land.

Due to the fact that it is the kind of co-ownership that allows for the greatest amount of flexibility, tenancy in common ownership is the type of co-ownership that is most frequently employed by investors and parties who are not linked to one another. 

In a co-ownership arrangement, parties can own any proportion of the property they like and the rules, as well as their interests and duties, are spelt out in the co-ownership agreement. After the passing of a co-owner, that person’s portion of the property will be distributed in line with the terms of their will.

What exactly is meant by the term “co-ownership agreement”?

When a piece of property is acquired by many parties, it is common practice to have each party enter into a co-ownership agreement as a means of formally documenting their understanding of the relationship between themselves and the other parties. 

Co-ownership agreements are able to be drafted by property lawyers for virtually any circumstance, including the purchase of a home with a friend or family member, the formation of a partnership with investors to aid with the acquisition of a property, or even the joint renovation of a house.

It is very vital that you have an expert property lawyer assist you in creating a co-ownership agreement in order to guarantee that all parties are fully informed and protected. This may be accomplished with the assistance of a property lawyer.

  • Disputes between owners are dealt with effectively;
  • The co-owners understand how the property is to be occupied and managed; 
  • The co-owners understand how the financing arrangements are structured and their liability for any loan defaults; and
  • The co-owners are able to meet to discuss important matters relating to the property.

Why do I need to sign a co-ownership agreement if we are going to buy anything together?

A co-ownership agreement clarifies the amount that each co-owner is contributing to the purchase and, more crucially, lays down a plan for what will happen in the event that one of the owners passes away, their marriage dissolves, or some other catastrophe occurs.

A co-ownership agreement also helps in precisely defining the intended purpose of the acquisition, such as whether it is to be used as an investment or to be occupied by one or more co-owners.

Before engaging in a co-ownership arrangement, you should get the counsel of a tax professional if the property is being acquired with the intention of turning it into an investment.

The advantages and disadvantages of group financing

The primary advantage of asking for group financing is that, by combining your individual salaries, you will, in the majority of cases, be able to qualify for a larger loan amount than would be available if you applied for financing on your own.

As a form of collateral for the loan, the lending institution will take out a mortgage on the portion of the property owned by each co-owner. To the exception of situations in which the lender requires each co-owner to offer a cross guarantee to the lender, each co-owner is liable for paying their respective share of the loan (which is usually a requirement for group finance).

When this is required, then the lender can make the non-defaulting co-owner responsible for the defaulting co-proportion owners of the loan, and the co-owner agreement gives the non-defaulting co-owner rights to recover this from the defaulting co-owner. In other words, the lender can force the non-defaulting co-owner to pay the defaulting co-share owners of the loan (e.g by selling the property).

The co-owners agreement may also include provisions that restrict the ability of individual co-owners to borrow more funds from the lender without first obtaining authorization.

Finally

For all you need to know about the Australian legal system or the Western legal systems as a whole when you are purchasing property or trying to sell one, our experienced property lawyers at Chamberlains can help you navigate the process with clarity so that you can know what to do at the right time and how to do it.

You wouldn’t have to bother about the property law committee decisions, the same property issues, your local government law council actions, or the necessary things you need to do in the bidding contract, we will help you through it all.

Top 7 Property Law Firms in Australia in 2023

Two things should always be in your mind when finding the best property law firm in Australia – achievement of goals and client satisfaction. More than anything, your property law firm must clearly understand your C and legal needs. Not only that, the law institute must be ready to give you precisely what you requested. 

Whether you are a property owner or an investor, you need the expertise of a property law firm to protect your property rights in the community in your real property is located. Just as an update, the Australian legal system has a lot of demands that real property owners and investors must fulfill to be safe. Hence, you must find an A-rated property law firm to have the best legal practices to your advantage.

As you should also expect, choosing and sorting the best property law firm in Australia requires a lot of in-depth research, both online and offline. As a matter of fact, you will have to combine the two ends of the spectrum. With that, we mean you will have to do online research to make the finding easier and quicker, then pay visits to the shortlisted property law firms for a face-to-face interview. No formula works better.

To save you from the stress, we have helped you to compile a list of the best seven property law firms that offer top-notch legal practices in alignment with the various western legal systems. 

Top 7 Property Law Firms in Australia

1. Fetcher Law

This property law institute offers high-scale, high-quality service-oriented commercial law. Situated in Perth, WA, they are known beyond the community as a top-notch commercial law firm providing legal services to persons with seemingly complicated legal demands. 

Fetcher Law

The property law firm is characterized by open and transparent communication, commercial and comprehensive legal solutions, and timely client services. Their base includes High net worth individuals, family groups, medium-sized business owners, NGOs, and associations. Best of all, they adhere strictly to the rules and regulations of the local government. 

2. Abetz-Curtis

Established in 1987, Abertz Curtis has grown to become of the best within the boundaries of Australia. They are known for providing modern, progressive legal practice in alignment with the rules and laws of the local community where they practice. 

As a premium property law firm, Abetz Curtis houses experienced lawyers who understand the nitty-gritty of commercial and residential laws. They help their client uphold legal rights by giving timely advice and representing them in court when necessary.

Abetz Curtis has almost the best team of specialist property lawyers in Australia. Hence, they can offer clients high-quality, practical, and effective legal advice. However, this property law firm is more interested in achieving successful outcomes for clients. The firm resides in Hobart, Australia.

3. M Joseph & Associate lawyers

This property law firm is situated in Melbourne, Australia. M Joseph & associates are among AustraliAustralia’s leading property law institutes. Since 2013, this property law firm has focused on a sustainable tradition of providing top-notch legal services in all aspects of the law. 

The firm boasts a team of registered property lawyers, legal assistants, and migrants devoted to achieving customer satisfaction. As a plus, the legal practitioners in this law firm come from different backgrounds. So, they have staff members that can speak a wide range of languages, including English, Arabic, Croatian, Serbian, Macedonian, and more.

4. Avantro Legal

Launched initially as Accenro Legal, Avantro prides itself on providing timely advice on real property and legal matters. Avantro is a commercially focused property law firm that handles everything concerning real estate investment and property management. Having built a strong reputation in property law, they serve as a first-class legal consultant in Australia. 

Avantro legal meet clients’ need in the areas of conveyancing, real estate and property law, wills & estate planning, dispute resolution & litigation, divorce & family law, mortgages & finance, proceeds of crime, or Asset forfeiture.

5. Harrick Lawyers Pty Ltd

FCW Lawers

Harrick lawyers is a national commercial property law firm that focuses on providing practical legal solutions for clients and the community throughout Australia. The law firm is known to be an organization everyone can talk to easily because of their effort to create a mutual bond and lasting relationship with their clients. 

This premium property law firm has excellent expertise in identifying and solving legal issues regarding real property. The company provides relevant legal advice at every property development and management stage. They are also a big player in purchasing and selling real properties.

6. Brand Partners 

Brand partners is a highly dedicated commercial law firm that offers legal practices at their best. The Melbourne-based law firm is a kingpin in property law, with which they have helped numerous clients in different capacities. 

If you are a real estate industry newbie, we suggest you hire this law firm as they understand what first-timers need and how to help them achieve the expected result. The firm is a haven of specialists in property law who also understand the demands of the real estate laws in the community where they practice. Brand Partners provides accurate legal advice at every stage of real estate investment. They also protect their client’s legal rights and help keep them safe from lawsuits or court sanctions.

7. Nevett Ford 

Nevett Ford is a member of Law Australasia with affiliated offices throughout the boundaries of Australia. The full-service law firm focuses on offering the best property law services with a passion for helping clients get the highest possible profit margin. In addition, the company aims to secure its clients’ legal rights in everyday complicated situations and helps with the best legal advice that yields maximum results.

In Conclusion 

Your success in the real estate industry depends on the law firm you hire. You will have a safe property investment if your law firm understands the nitty-gritty of property law and how it works in Australia. Do you need an experienced law firm to handle your property legal matters? This list is sufficient for you.

Note that the above list is in no particular order. You may choose a few randomly and do in-depth research to compare for the final selection. 

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