Seeking advice on refinancing from joint to sole ownership

Hi everyone,

We are refinancing from a joint investment loan to a sole owner investment loan.

What is the best way to proceed? We went to a mortgage broker who have suggested CBA lender with 3.15% P&I variable interest rate but feel that there are much better offers out there.

Is it better to get a loan increase to pay off the half ownership equity
(e.g.
House value - 800
Loan - 600
Total equity - 200
Half equity - 100
Increase loan by half equity - 700
)
OR maintain the loan and pay out the half ownership equity with the money I saved
(e.g.
House value - 800
Loan - 600
Retain loan as 600 but pay out 100k (keeping in mind this is an investment property)
)
?

Thanks!

 

who is the owner?
Do you want to change ownership?

 

Doesn't sound like just refinancing. If one owner is buying out the other, stamp duty and cgt probably applies.

 

Yep, it is more than refinancing. There is a change of ownership from joint to sole ownership.

 

Then the question is why do you want to do this given the costs? Asking the 'why' question may open up new possibilities.

 

Its a transfer of ownership. get tax and legal advice.

 

Thanks, the reason is that the joint ownership situation is no longer possible. The other party involved needs to sell in order to reduce liabilities for a loan approval

 

Thanks, what would I be seeking tax and legal advice on? Also, where would be best to start?

 

With respect the answer to that is right in front of you...

 

I have written several tips on the for on spousal transfers do a search and have a read