Transfer of a property into a sole name.

[Mr Coeur de Lion]

Ok, just starting with the nasty business end with my split with my wife.

An Australian solicitor will be dealing with separating our properties into sole names and our divorce. We have an apartment in Australia that will be in my wife's sole name, but the two properties we have in France will go into my name only.

Does anyone know how to go about this, or will the Australian courts stamping of this automatically cover this and just by showing this document to a notaire, he will be able to put my properties here into my name only? I can't remember, but is there any stamp duties or equivalent needing to be paid on a normal property transfer ina sale for example? I want to avoid this cost, as it should be a straight forward transfer into my name only.

I don't expect anyone to have all the answers for this, but perhaps between several people, I could put together a picture of what I could expect to happen.

[suein56]

[quote user="Mr Coeur de Lion"]... but the two properties we have in France will go into my name only.

Does anyone know how to go about this, or will the Australian courts stamping of this automatically cover this and just by showing this document to a notaire, he will be able to put my properties here into my name only?.[/quote]

Have absolutely no idea as to the legal aspects of this; but must say, with no spiteful intent at all, after your being in France for some years, even you must realise that nothing could be that simple..

Would that it were. (Heartfelt sigh here, as I still cannot do smilies for some unknown reason.)

Sue

[Debra]

I agree with Sue in that I doubt it will be that simple!  You probably need signatures from your wife's heirs to say they agree and you'll probably have to pay tax for the transfer and the notaire might want to see a court order detailing the agreement.......

[Debra]

Oh - and hopefully it is all agreed and you don't own the property en tontine because otherwise you can be in for a legal nightmare.

A quick google comes up with this link http://www.frenchentree.com/french-law/DisplayArticle.asp?ID=28288 which says you get to pay less tax than that on a normal property transfer:

Divorce and your French property

Over the last 25 years many English married couples have bought houses

in France. Since then inevitably some couples have divorced or been

involved in divorce proceedings and the French house has been one of

the assets to be distributed between them. A divorce action in England

involves not only the dissolution of the marriage and arrangements for

the children but also the sharing between the divorcing couple of the

jointly owned assets.

Who gets the French house? It is best to reach agreement and have that

agreement included in the court order. Otherwise, if the value or the

apportionment is disputed, the amount to be shared is reduced in value

by the legal costs, survey fees and court fees incurred.

Best practice is to have a clause in the court order stating that the house be transferred into the name of the husband/wife.

Auction sale

The implementation of that order under French law results in a licitation. This is a legal term meaning the sale at auction of a property held by two or more people in common.

In fact, no auction takes place and the deed of licitation

recites the court order and the transfer pursuant thereto of the

interest of one co-owner to the other, thus making the ‘transferee’

(the recipient of the transfer) the owner of not only the one half

already owned but the other half as well. This makes the transferee

owner of the whole property.

Licitation is not a sale subject to stamp duty at 5% - but a

transfer by agreement between co-owners and is subject to stamp duty of

1.10%. This is a substantial saving, but bear in mind that it is not

only the half share being transferred that incurs the charge to tax but

the total value of the property.

For example, on a house worth 300,000 Euros, the transfer of one half-share worth 150,000 Euros incurs duty of 3000 Euros.

English lawyer

It is best to involve an English lawyer specialising in French law

right at the beginning of the divorce proceedings. That lawyer will

advise your divorce lawyers on the wording be put in the court order.

That lawyer knows that the simpler the terms of the order, coupled with

a specific reference to the identity of the property in France, then

the easier it will be to translate that order clearly into French. It

is best to avoid technical legal English, which merely serves to

confuse.

Over many years dealing with this recurring problem, it has become

clear that agreement between the parties makes the transfer easier,

cheaper and quicker.

Our role as English solicitors, trained in civil law procedures, is to

assist our professional colleagues in England, in providing a solution

to what can otherwise be somewhat of a nightmare problem.

Graham Platt

The International Law Partnership LLP (Leeds office)

Direct tel 0207 061 6747

[Tricia]

Message deleted in view of Debra's 2nd post.

[Mr Coeur de Lion]

Thanks for your responses.

Perhaps I need to make an appointment at the local notaire and find out exactly what's needed, costs etc.

It really does not need to be complicated, just transfer French properties into my name, I'll transfer the Aussie property into hers, sorted. That's it, divorce, move on with life.

What could be easier..........

(gulps)

[Judith]

When we "transferred" my part of a jointly owned French property to my sister, we had a Licition - and there was some small amount to pay (of the region quoted above - it does depend on the price of the property), but other than having to sign that all were in agreement etc, not particularly problematic.  She did pay me my share, (as that was what we had agreed) but it was not a "sale" proper certainly.  So, I would think that it would be relatively simple, though I think it likely that your (soon to be) ex-wife will have to sign her consent, and presumably ensure that she gets her "equivalent" (albeit in the australian property).

Whatever, you will certainly need a notaire to organise the licitation (the French state must have its taxes, of course!!), so you might as well discuss it with him/her sooner rather than later.