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VIC Power of Attorney - Transferring Land Title's Name - Now or Later?

Discussion in 'Property Law Forum' started by david craker, 16 November 2015.

  1. david craker

    david craker Active Member

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    I have my mother in the last stages of her life and with only a few months left to live. She owns her own home, has no outstanding debts, she is on a DVA pension and is in full faculties of mind. She wishes to see if it is better to transfer a land title of her home to me before she passes away or whether it is better to wait until she passes away and it is passed over under her will. Basically, is there any benefit for her to do it now or wait until after she dies?

    There are no issues for her pensions as there may be only a few weeks left for her. My wife and I are moving into the house to care for her and we could technically present it from tomorrow as our new place residence. My wife is her carer and the enduring power of attorney, and can act with her to start a transfer if there are benefits in doing this straight away and should there be benefits to avoid having to pay duties, etc. to the State Government that can be avoided.

    My wife and I also own our own home across the road from her home and so there would be two properties involved and I am also on disability support pension with my wife as my carer so that may have to be considered as well perhaps..=

    My mother's house would be worth around 200k and ours is worth around 90k and I expect that they would be well under the assets threshold by DVA or Centrelink..
     
  2. James D. Ford - Solicitor

    James D. Ford - Solicitor Well-Known Member

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    Hi David

    There are many considerations in such a decision:

    1) Unless the property is an eligible farm, stamp duty would apply to the transfer by gift (with a concession or reduction due to your pensioner status). Whereas no duty is payable under a Will distribution;

    2) Could the Will be challenged by any other family members?

    3) The exposure to capital gains tax from the date your $80k property loses its principal place of residence status...

    The above are just a start. You need to consult a lawyer, and consider all of the relevant matters.. before a decision is taken.

    Kind regards
     

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