Joint ownership agreement

Residential property
11 Reviews
Select support levelCompare
Recommended

Document overview

This is a comprehensive agreement to record the joint ownership of a single property.Each owner lives in the property, but with living accommodation divided so that the only commonly shared area is the main exterior entrance.This document provides set of rules to regulate management and use of the property.It is suitable to use where the owners agree to share the property in one set of ratios and contribute towards costs and expenses in another set of percentages.The agreement includes paragraphs covering eventual sale, agreed uses of the property, and obligations of the owners.
Compliant
Compliant with the latest law
Document propertied
Document properties
  • Length:13 pages (3685 words)
  • Available in:
    MsWordMicrosoft Word DOCXApple pagesApple PagesRTFRTF
watertight guarantee
Backed by our watertight guarantee

If the document isn’t right for your circumstances for any reason, just tell us and we’ll refund you in full immediately.

writing in plain english
Written in plain English

We avoid legal terminology unless necessary. Plain English makes our documents easy to understand, easy to edit and more likely to be accepted.

Notes
Guidance notes included

You don’t need legal knowledge to use our documents. We explain what to edit and how in the guidance notes included at the end of the document.

email
Support from our legal team

Email us with questions about editing your document. Use our Lawyer Assist service if you’d like our legal team to check your document will do as you intend.

Update
Up to date with the latest law

Our documents comply with the latest relevant law. Our lawyers regularly review how new law affects each document in our library.

About this document

This agreement covers any situation where two or more people (or sets of people) share ownership and use of residential property for permanent occupation.

It sets out how the property is owned, how maintenance is paid for and carried out, and how the owners may sell their share.

This agreement is suitable not only for situations where, for example, each owner has the exclusive right to use a bedroom and shares the use of all other rooms, but also for virtual flats where, for example, each owner has the exclusive right to use a bedroom, living room, kitchen and bathroom and the only shared area is the entrance hall.

Under the South African law, the registration of ownership does not record the shares in which the property is held. So if you own 60% and I own 40% we have to record that in some other document such as this one. If we do not do so, the law will assume we own it in the same proportions in which we contributed to the purchase price, which may not be the same as we agree.

This agreement specifically records the ownership proportions, which could be calculated at any time by a formula that takes into account differing contributions to an initial deposit, mortgage repayments and payment of repairs and improvements.

It can also record a beneficial interest – the share owned by someone who is not a registered owner on the title deeds. Most commonly, this may be a family member of one of the owners who has lent money as a deposit.

Note that this document does not cover how the owners will live together. It deals with ownership issues only. For living arrangements, you should use a cohabitation agreement such as this one.

Ownership through a company

You may wish to consider what the most suitable structure for your sharing proposal is. If there are more than four owners, then it is likely to be better to hold the property in a limited company and buy and sell shares in it. Ownership of the property itself (by the company) would never change and so no stamp duty is paid on transfers once it is bought. However, your mortgage provider may not lend as much to a new company as to individuals.

Running a company also does cost money, so with fewer owners it is a matter of preference as to whether you want the formality, expense and greater certainty of a company structure and a shareholders agreement, or the lower cost and comparative informality of an agreement like this one.

Contents

  • Terms of beneficial interest - beneficial trusts provision
  • Price and payment
  • How the parties will use the property
  • How expenses will be paid
  • Who will pay and manage the payment of expenses relating to maintenance
  • Undertakings by the parties
  • Alternative exit strategies - what happens if someone wants to sell his or her share or sell the whole property
  • Effect of termination
  • Many other legal provisions
Sample joint ownership agreementFront cover

Recent reviews

Great Service
20 May 2024
Well thought out agreement.
Kenneth Meek
Great Service
08 April 2024
This is the second document which I have purchased from Net Lawman and I can definately recommend this website. The document is easy to understand and suitable for my purposes. Thank you for an excellent service.
Leon Barton
Review of the New Zealand version
Stress Relieved
23 August 2022
Well written and structured document. Good additional notes. Excellent value for money. Would recommend to anyone considering joint ownership of a property.
Andy Baker
Review of the United Kingdom version
Read all 11 reviews

Choose the level of support you need

Document Only

Complete the document template yourself using our guidance notes
R299.00
  • ok This document
  • okDetailed guidance notes explaining how to edit each paragraph
Most Popular

Lawyer Assist

Support from our legal team during and after editing
193 Reviews
R2,798.00
  • ok This document
  • okDetailed guidance notes explaining how to edit each paragraph
  • okUnlimited email support - ask our legal team any question related to completing the document
  • ok
    Review of your edited document by our legal team including:
    • reporting on whether your changes comply with the law
    • answering your questions about how to word a new clause or achieve an outcome
    • checking that your use of defined terms is correct and consistent
    • correcting spelling mistakes
    • reformatting the document ready to sign
© 2000 - 2024 Net Lawman Limited.
All rights reserved