The world of property law and resource management can be complex and confusing, but there are certain practices that can greatly benefit homeowners. One such practice is the conversion of cross lease titles to fee simple titles. In this video clip, Hamish from Mortgages Online speaks with Hamish from Mt Hobson Group to discuss this process in detail.
Converting cross lease titles to fee simple can greatly benefit homeowners, and it’s a process that’s becoming increasingly popular.
The first step in the conversion process is to get all the neighbors on the same page. This involves getting an agreement between the parties that they’d like to separate and agreeing on who will pay the cost. However, it’s important to note that there may be no equality of payment, and one party may agree for the conversion to take place without paying.
The second step in the process is to do a services check. When a property becomes fee simple, the council requires separate services such as electricity, water meter, telecommunications, sewage, and stormwater. Hamish from Mt Hobson Group emphasizes the importance of doing due diligence checks on the services before proceeding with the conversion. This involves ordering a site file, ordering a title, checking for any other restrictive covenants, and determining whether there is a simple opportunity to convert or whether it might be too difficult and expensive.
