PPOR and dual occupancy

I currently live in Property 1 (PPOR from day 1). I also bought an old property with my brother a few years ago while holding Property 1 (50% each tenants in common) and the house has been knocked down and we are building 2 townhouses right now (front and back). Our intention was to live one each as PPOR.

Due to changes in my personal circumstances, I am now looking to buy a block of vacant land and build a house in another suburb. This new house will be my PPOR for at least one year. My questions are:

1, If I sell my current PPOR Property 1 (my understanding is this one is CGT exempt), then acquire a block of land and build Property 2 within three years (move in and live for more than one year), can I treat Property 2 as my new PPOR to get CGT fully exempt? (including time holding the vacant land).

2, for the old property I purchased with my brother, we can't partition the new townhouses (to have one townhouse each) because I won't have enough borrowing capacity to serve the loan for a new townhouse if I maximise the capacity in option 1. My brother still wants to live in one of the townhouses (he is aware he can only claim 50% CGT exemption because of the situation), and my options are:
rent out my townhouse for at least five years until I sell it;
sell my townhouse after completion or off-the-plan now;
rent out my townhouse first and then sell Property 2 (CGT Exempt) in option 1 after one or two years and then move in to the townhouse, and I only claim 50% PPOR exemption if I have to sell the townhouse one day. ...........OR should we register subdivision or just keep dual occupancy? I'm now very confused with those options.
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Can someone help me with the above two questions?
Thanks very much! Any advice is appreciated.

 

I don't know how to edit my original post, just to clarify I own property 1 100%. The 50% each tenants in common is referring to the old house being knocked down and rebuilt two new townhouses.

 

1, Not enough info, but this could be possible.

2. what’s the question?

You could still partition but not separate titles until later

 

Thanks for your reply Terry.

Regarding 1, what I am trying to achieve is selling my current PPOR in the next few months, as it has been my PPOR since settlement, this should be CGT exempt. After the sale, I'll then buy a block a land and build a new house, move in and live there for at least 1 year. So by the time I sell the new house, it should be GCT exempt too. Is my understanding correct? Please let me know if you still require additional information.

Regarding 2, I listed a few options I can think of, but I don't know what the best approach is in terms of achieving potentially the better financial outcome.

Also can you please recommend a professional (or a team of professionals) in Melbourne I can talk to? Should I talk to a lawyer, conveyancer, financial planner or accountant?

Thanks very much!

 

You should get some specific tax advice. Talk to a tax lawyer who could advise on the duty and tax aspects or to a tax agent who could advise on the tax aspects.

 

Its not too late but it will probably cost you for being slow as duty would be payable.