Unfortunately getting a divorce and initially the plan was to sell the house and split the proceeds. (no kids involved; amicable separation; all pretty straight forward). I was going to live with the folks in another town for 12 months and get my head straight. However the more prep work I do to sell the place the more I realise I don't want to leave it. We live in a very sought after location and I honestly would be happy to live the rest of my life in this house. So I'm starting to think about buying out my wife instead.
I make north of $3k pf net and I would have to refinance the loan to about 400k to buy her out. Even factoring in maintenance I could do this but would be slim on savings and it occurred to me that I could turn it into an IP for 12 months and go live with the folks for next to nix for that period and that would subsidise the loan taking the pressure off.
My folks are nearing 80 and we've always toyed with the idea of them living with me. I also just found out about the "granny flat interest" concept so in 12 months we might be able to sell their place, all move back here and covert it back to PPOR and refinance the loan using some the granny flat interest monies.
Just after some feedback on gotchyas that might exist in PPOR to IP to PPOR conversions. Should I talk to an accountant about the issues?
Thanks
I make north of $3k pf net and I would have to refinance the loan to about 400k to buy her out. Even factoring in maintenance I could do this but would be slim on savings and it occurred to me that I could turn it into an IP for 12 months and go live with the folks for next to nix for that period and that would subsidise the loan taking the pressure off.
My folks are nearing 80 and we've always toyed with the idea of them living with me. I also just found out about the "granny flat interest" concept so in 12 months we might be able to sell their place, all move back here and covert it back to PPOR and refinance the loan using some the granny flat interest monies.
Just after some feedback on gotchyas that might exist in PPOR to IP to PPOR conversions. Should I talk to an accountant about the issues?
Thanks