I have to decided to sell but ...

Out,_Vile_Jelly

Mojisola wrote: »

Also I'd rather buy something at a reduced price and put in my own kitchen than have to live with a brand-new set-up that is someone else's taste.

I agree; worth spending a bit of money on basics like gutter checks, roof tile replacements, everything that makes the place look solid and well maintained, but leave the cosmetic redecoration to the buyer.

Fab10

In fact CGT is quite a good reason not to do up the place before you sell, I would have thought.

I am a little confused on the above. Ps can someone explain why not doing the house up is beneficial for CGT ???

Smodlet

Because it probably would not fetch as much in its present state as it would were you to refurbish it, hence your profit would be lower so your CGT bill would also be lower? Just a guess, mind.

Pixie5740

Deja vu

https://forums.moneysavingexpert.com/discussion/5844536/help-im-confused

Tiglet2

Shazay10 - If you spend money doing up the house, let's say £10,000, you could put it up for sale for more than you could hope to get without the work. So for instance, your house is brought up to standard and you sell at £205,000. Without the work, you may not sell at this price, let's say £195,000. Therefore, your CGT gain will be higher with the work than without and your tax liability is therefore higher if you sell for more. Does that explain it?

Tiglet2

Smodlet put it better than me!

getmore4less

Shazay10 wrote: »

*** I am not making any profit ie the rental income only covers the mortgage.

£167k-£200k with a £67k mortgage @ 2.5% interest only would be £140pm or a gross yield of 1% which would not be a sensible yield.

that points to a repayment mortgage you have been making a profit as you are paying off capital.

You have been declaring this profit.