3 properties to sell into a trust

Hello everyone,

I have tried to read as much as possible but think I should also ask outright to see what is applicable or not. Thank you for any replies in advance! I was not aware of such resources and value any feedback.

I am 41 this year and will be getting married late this year. I currently have 3 properties in Sydney (home) as investment properties. One has a granny flat and studio within the property. The houses are all under my name however my parents had helped me originally and also have put a lot of time and effort in renovations. I indeed owe them a lot!

My question is this. Seeing as though no guy I have been with has agreed to a prenuptial agreement, I was thinking of selling the houses into a newly created family trust, myself as the guarantor/beneficiary. This would be purely to protect my assests if there ever was a divorce. I don't know any other ways to protect my properties and don't want anyone who is not actively participating in repayments etc to gain a % of our family hard earned earnings. Would there be stamp duty and CGT also? ( have read it is so in NSW).

I have been divorced previously so lessons learned.

Appreciate any feedback that can assist me. Thank you all kindly!

 

Little to no asset protection from family law on such a transfer.
Yes both stamp duty and CGT would apply as well as mortgage discharge and registration costs, covneyancing, legal advice etc.

 

I suspect transferring the properties to a trust isn't going to provide much asset protection from the family law courts. It could even possibly create the expectation of your husband to receive distributions from the trust, thus strengthening a future claim.

Perhaps discuss this with a family lawyer. Understand what sort of behaviours might put your portfolio at risk and work from there.

One thing I have noticed over the years, helping people finance their way through a separation, is that everyone comes out of a separation financially worse off. Make sure you're marrying the right person for you. Think long and hard about it, apply cold analytical logic to the decision. Make sure you are willing to spend the rest of your life with that person.