G’day all,
I just thought I’d throw this out there and see if anyone has any ideas for me.
Im living in the USA and am selling one of my properties in Australia. For tax reasons we cannot settle between July and December as the tax years overlap and it will take 18months for the CGT paid in USA to be refunded. If it settle between Jan and end June it is refunded instantly.
Anyway, as it is early May with only 8 weeks to go, there is a good chance it mightn’t sell and settle prior to end of the financial year.
Obviously one option is to take the property off the market and relist in say october to settle after 31t of December. Another is just to sell with a long settlement, but are there risks in doing that?
Any creative ideas?
Cheers,
Batts
Actually, a long settlement might work in your favour if the property is bought by an investor. Most investors won’t mind having a long settlement as they secure the price today and may get some CG in the time it takes to settle. Of course, this means you’ve sacrificed the CG but you may be able to negotiate a high selling price based on this. Out of curiousity, where is the property located?
Flatout
Thanks for the reply, I appreciate the advice.
The property is ROMA, a regional city in Qld.
Cheers,
Batts
You could do a 3 month Lease Option. Then a 3-4 month settlment period to get it within your time frames.
Cheers
Kiwi
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