I act for A & B the joint registered proprietors of a property in NSW. They wish to transfer a 1% interest to daughter C with the resulting shareholding in the property to be A & B as joint tenants as to 99% and tenants in common with daughter C as to 1%.
I also represent the daughter.
I understand PEXA cannot deal where there is a transfer of fractional interest. There are also stamp duty issues.
Please confirm if PEXA cannot deal with fractional interest.
Right now, PEXA has an issue in NSW when transferring fractional interests where a Party relinquishing is the same Party as the Party receiving.
The reason is that in NSW, OSR expect that PEXA completes the arithmetic difference between Party Receiving and Party relinquishing, but in other jurisdictions OSR prefer to complete this arithmetic calculation.
PEXA will rectify the issue in NSW in R9.1 Feb, 2019.
Provided the Party receiving is different to the party relinquishing, PEXA can handle fractional interest transfers in NSW today.