I wanted to enter into an agreement a while ago with someone in a fashion that would appear similar to that of a wrap (not knowing much about them at the time (and still not knowing a lot!)).
They were to make regular payments to me whilst the property was to remain in my title, due to the person not being eligible for finance. A legal agreement was to be drawn up between us.
HOWEVER, the solicitor advised me that a personal legal agreement may not stand up in court against “title” and that they would advise the other person that in a dispute, the person with the title would be in a much stronger position. In other words, they would not recommend this scenario to the other party and were not interested in being involved in the process.
Isn’t a legal agreement form the basis of a wrap in terms of proteciton for the rent/buyer?
Some lawyers just don’t understand and/or like wraps. But he does have a point in that the tile would not be in his clients name and therefore there would be some risk involved to his client.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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