Hi there. The laws surrounding shared ownership of property in a marriage or de facto relationship are not black and white. A lot will depend on the nature of the relationship, how the property was purchased, and the circumstances in which one party is trying to assert their interest in the property.

If the investment property is purchased in your husband’s name, this means he will have legal title to the property. It is possible for one person to hold 100% legal title to a property whilst another person, such as their spouse or partner, also has a kind of ownership interest in that property. This is usually referred to as a “beneficial interest” in the property.

As the spouse of the purchaser of an investment property, you are not automatically guaranteed any rights to part ownership of the property. However, you may gain a beneficial interest in the property if, for example, you and your husband clearly intend to purchase the property as a joint endeavour and both receive any income from the investment (e.g. rent). You may also gain a beneficial interest if you contribute to the purchase price or if you contribute to the development or maintenance of the property (e.g. renovations, paying utility bills, etc). If you do gain a beneficial interest in the property, your share will not automatically be 50%. Your interest will depend on the extent of your financial or non-financial contributions to the purchase and maintenance of the property.

You may also want to consider the circumstances in which you would need to assert or claim your beneficial interest in the property. If a marriage or de facto relationship breaks down, the parties will ordinarily need to divide their assets and debts. If they cannot reach an agreement between themselves, they can apply for financial orders from a court with respect to property division. In making these orders, a court will consider the financial circumstances of each party, the financial and non-financial contributions of each party to the relationship, and the future needs of both parties based on earning capacity, age, need to care for children, etc. If you find yourself in this position, any interest you may have in your husband’s investment property will be just one of many factors taken into account by a court in dividing up the shared property.