How to Add or Remove a Name on a House Title in Manitoba

People change who is on title for many reasons: a marriage, a separation, a new partner, or a wish to add a child. It looks like paperwork, but a change to title changes who owns the home, who can sell it, and what happens when an owner dies.

This article explains the general picture in Manitoba: how registration works, what to think about with your mortgage lender, how land transfer tax can come into play, and the difference between joint tenancy and tenants in common. Your own facts matter a great deal, so treat this as a map and not as advice.

This article covers the law of Manitoba.

How a change of title is made

Title in Manitoba is registered under the Torrens system. The Real Property Act states its object as simplifying title to land, giving certainty to it, making it easier to prove and speeding up dealings with it.

To add or remove a name, the owners generally sign a transfer that is registered at the land titles office. Registration is completed when the certificate of registration is signed or the data is accepted in the electronic information system, and it takes effect from the day the instrument is assigned a serial number. Registrations run electronically through Teranet Manitoba, and lawyers who register documents must follow the Law Society's eRegistration rules.

The specific forms and any supporting declarations depend on your situation, so it is worth confirming with a lawyer what is needed in your case.

Your mortgage lender

If the home is mortgaged, the mortgage is registered against the title. Whether your lender must agree before you add or remove an owner depends on the terms of your mortgage documents. Read them, and speak to your lender early.

How a change of title affects each person's responsibility under the mortgage depends on your mortgage documents and your situation, so it is worth confirming with a lawyer. Discharge of a mortgage is also dealt with in the Real Property Act, which covers mortgages and encumbrances, including discharge.

Land transfer tax

Manitoba land transfer tax is payable by the transferee, the person receiving title, with some exceptions, along with a registration fee. It is due when the transfer of title is registered at the land titles office.

The tax is calculated on the fair market value of the property on the date of registration, not simply the contract price. The rates rise in steps: nothing on the first $30,000, 0.5% on the next band, 1.0% on the next, 1.5% on the next, and 2.0% on the amount over $200,000.

The government page refers to some exceptions to the buyer paying the tax but does not list them, so do not assume that adding a spouse or child is free of tax. One exception reported in Law Society education material is a transmission into the name of a deceased owner's personal representative, which that material says attracts no land transfer tax. Ask your lawyer whether the tax applies to your particular transfer. Manitoba's tax page does not mention a first-time-buyer land transfer tax rebate.

Joint tenancy or tenants in common

When two or more people are on title, they hold it in one of two main ways. In a joint tenancy, the owners hold together, and when one dies the survivor can apply to be registered as owner by request without going through the estate. How a tenant in common's share passes on death depends on your situation, so it is worth confirming with a lawyer.

• Joint tenancy suits people who want the survivor to take the whole home with less paperwork.
• Tenants in common hold their shares differently, so ask about how that fits your wishes for who receives your share.
• If a sole owner dies, a court grant is generally needed before the personal representative can apply to Land Titles, followed by a transfer to the beneficiaries.

The way you hold title should match your estate plan. A lawyer can explain how the choice interacts with your will.

Separation, marriage and family law

Removing a spouse or common-law partner from title is not the same as ending their legal claims. Under The Family Property Act, a family asset includes a family home, whether one or both spouses or common-law partners own it. Each partner can apply for an accounting and, subject to s. 14, equalization, and the total is generally divided into two equal shares. The Act does not itself require the home to be sold.

A common-law partner is someone who registered under The Vital Statistics Act or lived in a conjugal relationship, unmarried, for at least three years. Time limits apply for applying for an accounting, and the court may extend them. Exclusive occupation of the family home is a separate order under The Family Law Act.

What to do next

• Get a copy of your current title and mortgage documents.
• Decide how you want to hold title and talk to a lawyer about how that fits your will.
• Contact your lender about whether it must consent.
• Ask whether land transfer tax applies to your transfer.
• If you are separating, get family law advice before signing anything.

Frequently asked questions