I have learned so much from this forum, many thanks to all of you who take the time to help others. Since finding this site about a year ago I have just settled on my 3rd rental and owe much of my knowledge and success to information and links from this forum.
Your advice would be appreciated about the following-
My 21 yr old son is building a house that is due to be completed in October. He had planned to rent it and then possibly sell once he has owned it for over a year. He has had a serious enquiry from a cashed up couple who would like to buy the house asap. The problem is that his contract on the land was in March 2009 so the 1yr and 1 day is not up until March 2010. As my son is earning 6 figures he will stand to lose $17,500 in CGT if he sells now.
I have read about an option to lease, delay settlement until a future date. My understanding is that an 'option ' is entered into that is not a contract, whereby the buyer pays a deposit and secures the property. Does anyone have experience with this? Can the buyer rent the the house until that date?
Who oversees the 'option'?
Cheers
Jude
Your advice would be appreciated about the following-
My 21 yr old son is building a house that is due to be completed in October. He had planned to rent it and then possibly sell once he has owned it for over a year. He has had a serious enquiry from a cashed up couple who would like to buy the house asap. The problem is that his contract on the land was in March 2009 so the 1yr and 1 day is not up until March 2010. As my son is earning 6 figures he will stand to lose $17,500 in CGT if he sells now.
I have read about an option to lease, delay settlement until a future date. My understanding is that an 'option ' is entered into that is not a contract, whereby the buyer pays a deposit and secures the property. Does anyone have experience with this? Can the buyer rent the the house until that date?
Who oversees the 'option'?
Cheers
Jude
