Selling the family home in a separation or divorce (QLD)

TL;DR: Selling the family home (or transferring it to one of you) during a separation in QLD comes with a couple of traps – a 12-month deadline after divorce, and a transfer duty exemption worth tens of thousands if it’s done right. Here’s the plain-English version, whether you’re going through it yourself or you’re the agent, broker or adviser helping someone who is. Just call us and we’ll point you in the right direction.

The family home is usually the biggest asset – and the most emotional one – when a relationship ends. Whether you’re selling it and splitting the proceeds, or one of you is buying the other out, selling the family home in a separation comes with a few rules worth knowing before you list or sign anything. (And if you’re a professional helping a client through this, the same guide applies – there’s a bit for you near the end.)

Can you sell the family home during a separation?

Short answer: yes. You don’t have to wait for the divorce to be final to sell or transfer the home. Plenty of couples sell during separation to draw a line and split the proceeds. The key is making sure the paperwork behind the move is done properly – because that’s what unlocks the tax saving and protects both of you.

Selling up vs one of you keeping it: two different paths

There are two common scenarios. One: you sell to a third party and divide the proceeds – a fairly normal sale, just with two people who both need to agree. Two: one of you keeps the house and buys the other out – that’s a transfer between the two of you, and it’s where the real money-saver lives (more on that below). We handle both, including the conveyancing and the transfer itself.

The 12-month deadline that catches people out

Here’s the one people miss. Once your divorce is final, you have just 12 months to apply for a property settlement (it’s two years from separation for de facto couples). Miss that window and you need the court’s permission to apply at all. So sort the property side before or alongside the divorce, not after. Our family law property settlement page walks through it.

The transfer duty saving when one partner keeps the house

If one of you keeps the home, Queensland offers a transfer duty exemption on the transfer between you – but only if it’s done under a court order or a properly drafted Binding Financial Agreement. On a typical home that’s tens of thousands of dollars saved. Done wrong, the Revenue Office knocks it back and you pay the lot. We break the numbers down in our property-in-a-divorce guide.

A quick word for the agents, brokers and advisers

If you’re the professional in the room – listing the home, refinancing one partner out of the loan, or rebuilding the financial plan – you’re often the first to know a client is separating. You don’t need to give legal advice. Just flag the two big ones (the 12-month deadline and the transfer duty exemption) and point your client our way. We work alongside family lawyers, refer out for contested matters, and look after referred clients. Referring is easy – send them over, or call us first and we’ll take it from there.

One thing for everyone’s peace of mind: we never act for both sides of the same matter. If you both want us, we act for one and refer the other to a trusted firm for independent advice. (Here’s why we never act for both parties.)

Going through it? Just call us.

You don’t need to have it all figured out first – that’s our job. Whether you’re selling the family home, buying your ex out, or you’re a professional with a client in this spot, call 07 3088 7675 or send us a note and we’ll point you in the right direction. Free, friendly, no obligation.

Frequently asked questions

Can we sell the family home before the divorce is final?
Yes. You can sell or transfer the home during separation – you don’t have to wait for the divorce. Getting the settlement paperwork right is what matters, not the timing of the divorce itself.

Do both of us have to agree to sell the house?
If you both own it, generally yes – a sale needs both owners to sign. If you can’t agree, a property settlement (by consent or court order) decides who sells, keeps or buys out. We can point you to the right path.

Who pays transfer duty when one partner keeps the house?
Normally the person taking over the other’s share. But QLD offers a transfer duty exemption when the transfer is made under a court order or a proper Binding Financial Agreement – which can save tens of thousands. We make sure it’s claimed correctly.

Do you act for both me and my ex?
No – never. We don’t act for both parties in the same matter. If both of you want us, we act for one and refer the other to a trusted firm for independent advice.

Related reading

• Family law property settlement – BFAs, consent orders & stamp duty exemption
• What happens to property in a divorce in QLD (the transfer duty hack)
• Divorce Applications in Queensland – fixed-fee, joint or sole
• Why we never act for both parties