Buying house from parents.

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Bcoll05

Registered User
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Hi.
Need advice on the best way possible to buy a house from my father.
Let's say the house is worth 300k in today's market value. He built it in 1998 for estimated 140k.
Can I buy it from him for 200k? Or what are the implications on this? What taxes have to be paid?
Is there a better way to go about this?
 
You can buy it for whatever value you want but as you are connected to him market value will apply to the transfer.

There are a number of taxes that apply:
Capital Gains Tax: if he lived in the house then it may be exempt.
Capital acquisitions tax: the difference between the market price and what you pay is subject to CAT. The first €280k in gifts parent to child is exempt so if you have not received a gift previously then no CAT.
Stamp duty will apply to market value.
 
He hasn't lived in the house. It's been rented all this time.
From the figures I've given above what would the taxes amount too?
The gift threshold from parent to child has risen to 310k in the last budget & I've not received any gift before this.
 
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