What is Property Mediation?

Property mediation is an opportunity for former partners to discuss and negotiate a fair and equitable way to divide their property and to resolve the financial relationship between them.

As an overview, the process involves a mediator working with you both to share information and perspectives between you on the following important considerations:

• What do you both own (assets) and what do you both owe (liabilities)?

• What are the agreed values for each of your assets and liabilities?

• If we can’t agree on certain values what plan can you come up with to reach agreement. I.e valuations, accounting advice etc.

• What were the financial and non- financial contributions of each of you during the relationship?

• What are both of your current and future financial needs?

• How can the assets and liabilities be divided between you?

• How should your property agreement be recorded and what steps need to be taken from here?

What is the Balance Sheet?

The Balance Sheet is the document that a property mediation is conducted around.

It essentially lists all of the assets and liabilities of each of you (including your financial resources).

Through the process of mediation, you both discuss and determine who will keep what from the Balance Sheet.

The Federal Circuit and Family Court’s Balance Sheet example can be seen here.

What are the benefits of property mediation?

As with all types of mediation, property mediation is done for a fixed fee and is therefore cheaper (and faster) than solely negotiating through lawyers or going to court.

It can also greatly reduce the stress that can come with ongoing conflict between you and your former partner.

What preparation should I do?

Preparation is critical to a successful mediation as it means that the valuable time that is spent in the mediation is focusing on the crux of the issues, rather than spending significant time establishing ‘who has brought what with them’ on the day.

At Olive, we know how stressful and unfamiliar the mediation process can feel so we assist both parties by providing each of you with a full information pack on what you will need to do prior to mediation (and what to bring with you on the day).

We also provide our clients with a detailed Mediation Guide on how the process works from the date you engage Olive until the end of mediation process.

We also allocate a separate session with each party before the mediation to ensure that the Balance Sheet (that is used as the basis of discussion in mediation) is complete and accurate, saving time and stress on the day of the property mediation.

As an overview, these are important steps to assist you in preparing for a property mediation:

• Compile a comprehensive list of all your assets, such as vehicles, jewellery, sporting equipment, investments and their estimated values.

• Obtain property valuations for any property you own from either licensed real estate agents or property valuers so you have an accurate value for your property.

• Obtain a copy of your last annual superannuation statement for each account you hold as well as a screenshot of the current value of each account.

• Consider your contributions (and your former partner’s contributions) to the property pool from the start of the marriage or cohabitation until separation.

• Consider your future living expenses and financial needs (including the needs of any children you have).

• While not always possible, try to reach agreement on as many of the assets and liabilities with your former partner that you can, ahead of mediation so that the mediation can focus on the matters still in dispute.

• Obtain legal advice to understand how the Family Law Act works in terms of a property division and what you would usually be entitled to in a property settlement. Seeking this advice is also useful so you understand what the next steps may be if you don’t reach agreement and things proceed to Court.

• If you are hoping to keep a property or buy a new property from funds in the property settlement, we encourage you to speak with a lender or mortgage broker about your borrowing capacity and potentially a pre-approval for a mortgage.

• Ensure you have good support - family and friends and/or professional support such as counsellors or psychologists can be a wonderful support through the process of mediation

How do I book a property mediation?

The first step towards a property mediation is to click on the below link to book in an intake online.