newbuild05
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If you can't sell at the moment then there is one obvious option - drop the price to attract interest
If you don't sell the house within 12 months of vacating it as you home then you will be liable for CGT on some portion of any resale value. The 5 years ownership period is irrelevant.We have had our house for sale for 12 months and following a price reduction we are hopefully close to being sale agreed. We lived there until May of '07, it was empty until December '07 after which we started renting it out on a 6 month lease (ends June '08). In May '08 we will have owned the house for 5 years. If we sell it within the next few months will we have to pay CGT?
The mortgage outstanding is irrelevant. The easiest way to look at this is by an example:If we sell for say: E260,000 and our outstanding mortgage is half that, plus solicitors and estate agent fees - based on renting it for 6 months how much CGT would we pay?
These details are irrelevant to the CGT issue.I am self employed and my partner is PAYE/part time student. We are currently renting and do not intend on buying another property for several years.
Hi ClubmanClubMan; said:If you don't sell the house within 12 months of vacating it as you home then you will be liable for CGT on some portion of any resale value.
It's when the property ceases to be your PPR.how is the vacation date worked out?
No.Is it based on when we stopped paying the mortgage?
Not for the purposes of determining when it ceased to be your PPR.We continued to pay mortgage on house for 5 months after we had left and only rented it out then - does that matter?
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