Can anyone shed some light on this one....
We are selling our IP in WA (we live in NSW). The mortgage is with St George and we intend partially discharging the mortgage and substituting our PPOR as security (in place of the IP). This is being done to avoid any break costs, etc. as we have a couple of years of the fixed interest period to run.
We then intend buying another IP and using this mortgage, ie substituting the security again to the new IP. We will put a depoist down to keep it at 80/20.
The question is, are we liable for mortgage or any other stamp duty when substituing a security on a mortgage. I know stamp duty is payable on new mortgages and on increasing a mortgage but ot sure with security substituion.
Ta Keith
We are selling our IP in WA (we live in NSW). The mortgage is with St George and we intend partially discharging the mortgage and substituting our PPOR as security (in place of the IP). This is being done to avoid any break costs, etc. as we have a couple of years of the fixed interest period to run.
We then intend buying another IP and using this mortgage, ie substituting the security again to the new IP. We will put a depoist down to keep it at 80/20.
The question is, are we liable for mortgage or any other stamp duty when substituing a security on a mortgage. I know stamp duty is payable on new mortgages and on increasing a mortgage but ot sure with security substituion.
Ta Keith
