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Rental property - question re shared ownership
Owen2003
Posts: 30 Forumite
I am married and in the process of buying a third rental property. Are there any benefits/disadvantages in the property being in both our names. I was going to put it entirely in my name as she would simply inherit the property from me if I died anyway.
I was wondering if there would be any red tape/financial implications to this or if I would be better off putting it in both our names from the start??
I was wondering if there would be any red tape/financial implications to this or if I would be better off putting it in both our names from the start??
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Comments
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Are either of you higher rate tax payers? If so it makes sense to put it in the other person's name so less tax is due on the profits.
Also if you do sell further down the line then you get to use both of your CGT annual allowances if it's in both names.1 -
That's a valid point re the CGT allowances thank you. The first property is solely in my name as it is my first home from before I met my wife. The second is jointly owned but in a deed of trust so that it is 99% in my wife's name and 1% mine for tax purposes (the rent goes into her bank so hopefully she pays no tax as she is a very low income earner to start with).
I think I will do the same with this one and that gives us the benefit of two lots of CGT relief should we decide to sell in the future.0
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