Hey Everyone,
I brought a house a few years ago, it is paid off, but i want to move to a different town to do some rehab work and i want to buy another house. I don't want sell because the market isn't very good, but i can't rent out because i am on the pension, so i will lose it and won't be able to pay rent if i move.
I was wondering if i can transfer my house to my parents, so when i do move after the house is rented out it doesn't effect me,
both goes towards my parents and also if i look at getting another house they can use my old house for a loan, and buy it on my behalf.
I know there will be a few fees and taxes, but both of my parents still work so i figure they could use two houses to claim taxes on in the future. I know nothing will be in my name, but i can trust my parents, and there will be a Will just in case.
Can this be done??Thanks,
PeterIt can be done, but what effect will it have on their pensions – now or in the future. Can they qualify for the loan? They will also have to pay stamp duty plus legals, app fees etc. You will pay legals too on the sale. Potential land tax too.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
thanks for the reply terry, I not sure how it will affect their pension, if all goes to plan they are hoping to work for another 15-20yrs if that is a problem, I was thinking they could always sell 6yrs or so before they wish to retire or transfer them back.
How much are the fees if I transfer the house?(valued at $250k)Peter
It will vary from State to State depending on the Transfer value.
Richard Taylor | Australia's leading private lender
newpup wrote:thanks for the reply terry, I not sure how it will affect their pension, if all goes to plan they are hoping to work for another 15-20yrs if that is a problem, I was thinking they could always sell 6yrs or so before they wish to retire or transfer them back. How much are the fees if I transfer the house?(valued at $250k)If in NSW, about
$7500 for stamp duty
$1200 for solicitors (buy and sell)
xxx – loan feesIf your parents are not at the pension stage, then that is great. But you also have to consider other things such as what if they were to go bankrupt – your house could be taken.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
That sure sounds costly and there is some risk, but the only other way i can think of is to just sell the house and start over. I might go see a adviser and see if i can get another option. Thanks for all the replys, it has been a great help.
Cheers, Peter
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