Gday Guys,
When my parents bought there home the banks would not give them finance. My brother put the house in his name and got finance, and my parents have been payin it off ever since. This was only supposed to be a temporary solution but they seem to be stuck. It seems that anyway they turn, my parents will be up for a huge stamp duty bill. Even if my brother “sells” the house to my parents at the amount owing on the property, which is way below market price and may be illegal, my parents will still have to pay heaps of stamp duty (again!) – that’s IF they can get finance. I know they could probably enter into a wrap, but they would still be up for stamp duty.
Is there anyway they can transfer the title without having to pay all that stamp duty????
You replies would be appreciated, and thanks in advance!B.
I don’t think you can simply transfer without stamp duty. (If it was between spouses in a divorce settlement, then it may be possible).
To makes things worse, your brother may even have to pay capital gains tax as well. Maybe he should have bought it as trustee for your parents.
It may be better just to leave it as it is?
Terryw
Discover Home Loans
North Sydney
[email protected]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
I agree with Terry – there may well be no real reason to change it except perhaps an emotional one. If it is never sold then the CGT will never be triggered.
If your parents pay “rent” to the brother then perhaps he can gear it. He certainly has an asset in his name which may help or hinder his future plans.
Simon Macks
Mortgage Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
what if one of your parents changed their name to your brothers name?
… sorry… Im not helping am I…..
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riffWhat the mind of man can conceive and believe, it can achieve.
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