Handsomedevil
Registered User
- Messages
- 3
My wife and I bought in 2007 and our mortgage is on a tracker rate.
We have two teenage children.
The house is finally in positive equity though there is still a substantial mortgage outstanding (330k over 20 years).
Having decided to separate I moved out of the house but continue to contribute financially and will continue to do so until our children have completed their third level education.
I have been advised by my solicitor that it is most unlikely that my bank will consent to me being removed from the mortgage due to my wife's current salary.
I have accepted this reality and have proposed that I relinquish any stake in the family home in exchange for access to some savings which will hopefully enable me to 'start again'. This arrangement will be reflected in our Separation Agreement.
Should my wife wish to sell the house in the future I would not wish to profit from the sale but am concerned that I might have a Capital Gains Tax liability if I have managed, in the meantime, to secure another mortgage on a property to be used as my primary residence.
My ex wife would, as I understand it, not have a CGT liability as it would be her primary residence. However as I would nominally still be on the mortgage though (hopefully) living in another home with a separate mortgage in my name, would Revenue now consider my former family home as a 'second home' and therefore impose a CGT liability on me even though I would not have lived there for several years having only remained on the mortgage due to the bank’s insistence and to facilitate my ex wife and my children's living arrangements.
Thank you for any advice on this matter.
We have two teenage children.
The house is finally in positive equity though there is still a substantial mortgage outstanding (330k over 20 years).
Having decided to separate I moved out of the house but continue to contribute financially and will continue to do so until our children have completed their third level education.
I have been advised by my solicitor that it is most unlikely that my bank will consent to me being removed from the mortgage due to my wife's current salary.
I have accepted this reality and have proposed that I relinquish any stake in the family home in exchange for access to some savings which will hopefully enable me to 'start again'. This arrangement will be reflected in our Separation Agreement.
Should my wife wish to sell the house in the future I would not wish to profit from the sale but am concerned that I might have a Capital Gains Tax liability if I have managed, in the meantime, to secure another mortgage on a property to be used as my primary residence.
My ex wife would, as I understand it, not have a CGT liability as it would be her primary residence. However as I would nominally still be on the mortgage though (hopefully) living in another home with a separate mortgage in my name, would Revenue now consider my former family home as a 'second home' and therefore impose a CGT liability on me even though I would not have lived there for several years having only remained on the mortgage due to the bank’s insistence and to facilitate my ex wife and my children's living arrangements.
Thank you for any advice on this matter.
