Keeping the home means refinancing it into one name. Here's how that works.
Separating is hard enough without decoding a mortgage on top of it. If one of you wants to keep the home, you generally can't just take a name off the loan — the debt is refinanced into a single name, which also releases the other person from it. It's assessed on one income, and there are a few things that can help. We'll walk you through it calmly, at your pace, and in confidence.
The path from a joint mortgage to a single-name loan.
A separation refinance usually follows the same sequence. The finance step (releasing a name and buying out a share) sits near the end — it depends on the earlier legal steps being done first. This is the shape of it; your family lawyer guides the legal parts.
Separation & disclosure
The relationship ends. Both parties share full financial disclosure — income, assets and debts. Keep the joint mortgage up to date meanwhile.
Agreed split
You agree how property is divided — whatever share you both settle on, not an automatic 50/50.
Formalise it
Document the split through sealed consent orders or a binding financial agreement so it's legally binding. See your family lawyer.
Refinance in one name
The remaining owner refinances the whole debt into their sole name, drawing enough to pay the agreed share. Assessed on a single income.
Ex released from mortgage
On settlement of the new loan the other party is discharged. A matrimonial transfer may be stamp-duty exempt where formal orders/BFA apply (state-based).
Single-name loan
One borrower, one loan, one name on title — a clean financial reset to build from.
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Illustrative only — not a quote or an offer of credit. A home valued at $800,000 with a $450,000 joint mortgage has $350,000 equity; a 50/50 split is $175,000 each. To keep the home, the remaining owner refinances to roughly $450,000 + $175,000 = ~$625,000 (about 78% of value), subject to the lender's valuation and single-income serviceability. Your actual split is whatever your consent orders or BFA specify, not an automatic 50/50.
Three things worth understanding before you start.
You refinance — you don't “remove a name”
A joint mortgage can't simply have one name crossed off. The existing debt is refinanced into a brand-new loan in the remaining owner's name alone, and settling that new loan is what releases the other person.
It's assessed on one income
Serviceability is re-worked on the remaining borrower's income alone, which lowers borrowing capacity. Lenders also test repayments at a buffer above the actual rate (APRA's standing guidance is 3.0 percentage points).
Timing follows the legal steps
Lenders want the split formalised through consent orders or a BFA so they know who gets what. You can start the finance conversation early, but the refinance settles once the legal side is in place.
Going from two incomes to one is the real hurdle — but there's more to your picture.
Borrowing capacity is reassessed on your income alone. That's a genuine change, and responsible-lending rules mean a lender must be satisfied you can comfortably manage the repayments on your own. Some other income sources may help, depending on the lender.
Child support
Court-ordered or registered child support with a consistent, evidenced payment history (often 3–6+ months) may be counted by some lenders where it's expected to continue. Private, non-registered arrangements are treated more cautiously.
Spousal maintenance & FTB
Documented spousal maintenance, and in some cases Family Tax Benefit (subject to children's ages), may be considered by certain lenders. Acceptance and how much counts varies from lender to lender.
A family guarantee
If a parent has equity, a family guarantee can support the security side of a purchase or buy-out — though you still need to show you can service the repayments yourself. One of several structures we can talk through.
Stamp duty on a separation transfer — often exempt, but only if it's done properly
When a property moves from joint names into one person's name as part of a settlement, transfer (stamp) duty can be exempt — but generally only where the transfer gives effect to a sealed court order (such as consent orders) or a binding financial agreement made under the Family Law Act 1975. An informal, handshake agreement usually does not qualify.
The rules, section numbers and eligibility differ by state and territory (for example, Queensland's Duties Act 2001 matrimonial provisions, or NSW's Duties Act 1997 sections 68 and 163B). Getting the legal documents right is what unlocks the exemption — which is exactly why the finance and the legal work need to line up.
General information only, not legal, tax or financial advice. Duty exemptions are state/territory-based and change — confirm current eligibility with your family lawyer and the relevant revenue office before relying on it.
A note on timing after divorce
You don't need to wait for a divorce to sort out property — you can apply for property consent orders any time after separating. But be mindful of the time limits: once a divorce is finalised, married couples generally have 12 months to apply for property orders, and de facto couples generally have 24 months from the date of separation. Applying outside those windows needs the court's permission.
General information only — these are legal time limits under the Family Law Act 1975. Your family lawyer can confirm what applies to your situation.
Rates today, so you can plan on realistic numbers.
Indicative owner-occupier variable rates sat broadly in this range as at July 2026, with the average variable around 6.92% p.a. The lowest advertised rates generally need a larger deposit and a strong credit history. Rates move with the RBA cash rate — held at 4.35% at the July 2026 meeting — so they can change, and the rate you're actually offered depends on your circumstances, your loan-to-value ratio and the lender.
Indicative only and not an offer of credit, a quote, or a guarantee of a particular rate or approval. Comparison rate warning: a comparison rate is true only for the example given and may not include all fees and charges; different amounts and terms may result in a different comparison rate. Figures as at July 2026 and subject to change.
Separation and your mortgage, answered plainly.
Can I just take my ex-partner's name off the mortgage?
Not directly. A joint mortgage can't have one name simply removed — the debt is refinanced into a new loan in the remaining owner's sole name, and settling that new loan is what releases the other person. The lender needs to be satisfied you can service the loan on your own before that happens. This is general information, not legal advice — your family lawyer guides the property settlement itself.
Will I be able to borrow on a single income?
Your borrowing capacity is reassessed on your income alone, which is lower than a dual-income assessment, and lenders test repayments at a buffer above the actual rate (APRA's standing guidance is 3.0 percentage points). Whether a particular buy-out works depends on your income, the loan size and the lender. Some income sources — like documented child support or spousal maintenance — may help with certain lenders. We can map this out with you before anything is submitted.
Does child support or spousal maintenance count as income?
It can, but it's lender-dependent. Many lenders may count court-ordered or registered child support and documented spousal maintenance where there's a consistent payment history (commonly 3–6+ months) and it's expected to continue. Private, non-registered arrangements are treated more cautiously and may be accepted only in part, or not at all. We'll match you with lenders whose policies suit your situation.
Do I have to pay stamp duty to transfer the home into my name?
Often not — a transfer between separating partners can be exempt from transfer (stamp) duty where it gives effect to a sealed court order (such as consent orders) or a binding financial agreement under the Family Law Act 1975. An informal agreement generally doesn't qualify, and the rules vary by state and territory. This is general information, not legal or tax advice — confirm your eligibility with your family lawyer and your state or territory revenue office.
Do I need consent orders or a BFA before I refinance?
Lenders generally want the property split formalised so they can see who gets what, and a formalised agreement is also what unlocks a stamp-duty exemption. You can start the finance conversation early to understand your options, but the refinance typically settles once the legal side is documented. Whether consent orders or a binding financial agreement is right for you is a question for your family lawyer.
What happens to the joint mortgage while we work things out?
Until the home is refinanced or sold, both names usually remain liable on the joint mortgage, and missed repayments can affect both parties' credit files. The general guidance is to keep the joint repayments up to date during this period. If that's a strain, talk to us and your lawyer early — there are usually options.
When you're ready, we'll take it gently.
Tell us where things are at — even if the settlement isn't finalised yet. We'll explain your finance options in plain language, compare lenders across our panel of 50, and help you plan around the legal steps. Confidential, no obligation, and no credit check to start.
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