Is it this easy?

P

plumberbob

Guest
Hi,if you were to buy an investment property with a 85% interest-only mortgage off the plans and then waited until the whole project was finished (18 mths.) before selling up .If I had lived in it myself for that period would I have no CGT to pay assuming the price had risen?
Obviously the risk is the property did not appreciate over the time I would be there.Aside from that is there something I am not seeing.Thanks
 
How can you be living in the property while waiting for it to be finished? If you are buying off plan, you will typically have a long delay before you can step inside the property.
 
That is how everyone buys and sells their Principal Private Residence in a rising market, exempt from CGT

If it is an investment property you are buying, this implies that you have a PPR which in turn becomes the investment property itself (Subject to CGT) when you move out of it.

However you may have to pay up to 9% stamp duty on the transaction depending on your situation.
 
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