How to Sell Your Property When CGT is Payable

By Miles Wiseman posted 08-01-2018 12:07


CGT on a property is a big tax problem facing people who own numerous properties. If you happen to sell your personal or main home the gains collected will be exempted from the capital gains tax. Investors, landlords, people owning multiple properties and private individuals may face substantial capital gains liabilities when they sell a property belonging to the UK at a profit, and this is regardless of whether you have applied for the yearly capital gains allowance. There are various methods that you can use to market your house in the UK with the help of estate agents.    


How to market your house? 

 Multiple listing services, this is one of the best methods that real estate agents use when marketing a house. There are personal databases which are used by agents who are licensed in finding homes for buyers. 


Yard sign 

 Yard sign is the second-best tool for marketing or selling your house. A yard sign is a perfect way of attracting prospective clients who are house hunting in your neighborhood. It’s also a simple tool that is included in a majority of the listing packages or one that can be bought directly from your local store or online. 


Open house  

Having an open house in your home is a perfect way of giving various prospective buyers the chance to see your home personally at a time that’s most convenient for you. You will be required to take several days or weeks to stage and arrange your home before opening it for public viewing. 


Real estate agent companies  

A lot of real estate agent companies use their sites to market the homes they are selling. You can choose Estate agents London who offer a 0% commission on property valuation to any home that’s in London. 


What are the charges on a real estate sale?  

A lot of the consumers have this notion that real estate transactions costs are the average 1%-3% of the amount that the agents get as a commission. Hence the regular costs of selling property are high especially if they are viewed as a percentage of grossed equity. Avoiding the repetitive transaction charges is the motive why business people who are experienced believe that property should be handled as assets for the buyer’s life. 


Is capital gains tax payable on the property? 

Capital gains tax is payable if you get to profit from selling assets or properties. The assets include business properties, property (not your primary home), shares and personal possessions that are more than £11,200. Capital gains tax can be payable on the property only under the following conditions: 


- If you have let out the whole property to a tenant 

- If you bought the property to renovate and then sell it at a profit 

- If you moved out of the property 18 months before the date of the disposal 

- If you used part of the property mainly for business 


In case you are having problems with your capital gains returns you can hire an accountant from GM professional accountants in Ilford to help you with filing your tax returns.