Investment property for 20 years and now my PPR. Can I use 6 year rule for a future period?

 Author: YellowPotato(Taxicorn)Taxicorn

15 Apr 2026

Best to see a tax agent or ask ATO's technical advice

Former investment property is eligible for 6 year rule if you rent it out or indefinite if you leave it vacant. The criteria is that it is your main residence and stopped using it as a main residence. The confusing part might be "been your main residence first", they don't mean it was main residence from beginning, they mean it is a main residence before applying former main residence rules

• https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/property-and-capital-gains-tax/your-main-residence-home/treating-former-home-as-main-residence

Whether you apply onto the property or the effectiveness of MRE is a different matter. Generally, MRE is applied on one eligible property on any given day, exception is 6 month moving rule. If there's multiple properties, then a choice needs to be made. Choice can be made when a property has been disposed. Generally, if couples choose different properties, effectiveness of MRE may be reduced.

• https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/property-and-capital-gains-tax/your-main-residence-home/moving-to-a-new-main-residence
• https://www.ato.gov.au/individuals-and-families/investments-and-assets/capital-gains-tax/property-and-capital-gains-tax/your-main-residence-home/living-separately-to-your-spouse-or-children

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