Gday all.
Well after weeks of crunching numbers I have come to the conclusion that my current IP just isn’t making the grade and have hence decided to sell the IP and put the profits towards 1 or possibly 2 cash flow positive properties. Here is my situation:
IP valued at about $220 000
Current mortgage $195 000
Assuming I can get the full $220 000 [which I think is possible as the property is located in ipswich which is still doing well], I will be left with $25 000.
Now here is my question. As i have never sold a house before I know nothing about agent fees or capital gains tax. Can anyone tell me what sort of figures I would be looking at for them? Any help would be much appreciated.
Cheers team [blink]$$financial freedom by 30$$
Agents fees are around 2.5% of the sale price. You will probably need a solicitor as well.
CGT only applies to a gain – which may be nil or negative in your case, so you may even have a loss after you take costs such as stamp duty into account.
Terryw
Discover Home Loans
Parramatta
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how do i go about calculating CGT and stamp duty? I’m just trying to work out all my figures in advance. Are their any other hidden costs I should be aware of? Thanx for the help.
$$financial freedom by 30$$
hi monoploy man
hidden costs……..
well lets see now
Government charges
Stamp duty on transfer of land, Stamp duty on mortgage, Registration of transfer of land, Registration of mortgage, Title search, Registration of mortgage discharge.
Bank fees and charges
Loan application fee / package fee, Mortgage insurance, House insurance,
Other costs
Solicitor/Conveyancing fees,Now thats some of the costs for Buying……
what about selling?
Real estate agent commission costs, Real estate agent’s advertising costs
Government charges
Discharge of mortgage registration, Bank fees and charges
Preparation of discharge of mortgage, Attending discharge of settlement:
Other costs
Solicitor/Conveyancing fees, Settling costs e.g. Outstanding bills.Now lets see…….
was there anything I missed
please feel free to ad to list………
don’t you love property investing.
harry
There is always somebody wanting to snatch any possible profits from you… I guess that is why so many people give up on property. It looks easy!![biggrin]
Another reason why so many people are starting to sell privately as well..
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow Calculator
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