Tax on the sale of my house!!

christianG

Hi,
just wondering if anyone can help?
I am selling my house, in order to move to wales,
I want to rent in wales first, then find somewhere suitable before I buy.
I was told I don't have to pay tax on the money from the sale of my house if you use it to buy another house. but I might not find another house to buy straight away, which I why I wanted to rent for a while first.
Is there a way of banking the equity from the sale of my house and not pay tax on it, then use it at a later date to purchase a house?

please help.:(

thanks

cte1111

The only tax would be on any interest gained on the cash in the meantime.

loubel

You won't have to pay tax on your sale proceeds unless capital gains tax is applicable (which it won't be if you are selling your residence), regardless of whether you buy another house or not.

AdrianC

As CTE says - the only tax issues you might come across are capital gains, if the house you sell wasn't your primary personal residence (you didn't live in it, but rented it or had it as a second home) - and income tax on interest from the invested money. Other than that - no problem at all. Well, no problem apart from getting a return similar to house price increases, so you don't lose out...

Can you rent your old place out whilst you look?

christianG

Thanks for all the advice guys :j
@Adrianc I was thinking of renting it out at first, but a neighbour did this, and had a very bad experience with bad tenants. so I was thinking it might be safer and less hassle to sell it.