PPOR and Renting?

Discussion in 'Loans & Mortgage Brokers' started by RyanB, 16th Aug, 2015.

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  1. RyanB

    RyanB Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    118
    Location:
    Sydney
    Hi guys, a quick one for the bean counters,

    Is it legal to buy property renovate and sell it in 13 months and pay no CGT as its PPOR but technically just rent elsewhere whilst carrying out the works?

    Or would you have to rent off the books?


    Thanks in advance!
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

    Joined:
    18th Jun, 2015
    Posts:
    41,675
    Location:
    Australia wide
    If you are not living in the property it cannot be the main residence. But there is an exemption for something like this but you have to move into the property and live in it for at least 3 months (from memory).

    But if you are doing this to make money it would be taxable.
     
  3. Travelbug

    Travelbug Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    963
    Location:
    Gold Coast (from Sydney)
    Where will your mail go to? Your bills, licence etc? If anyone checks you will be found out if not really living there. It is supposed to be your PPOR (as in Principal Place of Residence).
     

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