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Main residency and transfer title

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Hello, we would like to transfer our apartment title from husband's name to wife's name, it is our only home when purchased and under husband's name, we moved overseas for a job after 2 years and rented it out, if we do the transfer now, will the 6 year rule still apply when the wife sell the property? I.e will it still be able to considered as main residency since we are overseas at the time of transfer? Although we moved in at the time of original purchase?

I am not sure which is better, a 100% or 95% transfer? The property should be under the wife's name for other reasons, it was a mistake to put it under the husband's name at the first place.

Thank you so much for the help!
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Best answer

Community Manager

Replies 0

Hi @Miamia,

 

To claim the main residence exemption you have to have lived in the property to establish it as your main residence.

So the 6 year rule wouldn't apply if ownership changes and you don't live in the property/

 

If only a percentage is changed you will need to pro-rata the share of the property that can be claimed as the main residence.

 

You should also check out the changes for foreign residents and the main residents exemption.

 

KylieS

 

 

1 REPLY 1

Best answer

Community Manager

Replies 0

Hi @Miamia,

 

To claim the main residence exemption you have to have lived in the property to establish it as your main residence.

So the 6 year rule wouldn't apply if ownership changes and you don't live in the property/

 

If only a percentage is changed you will need to pro-rata the share of the property that can be claimed as the main residence.

 

You should also check out the changes for foreign residents and the main residents exemption.

 

KylieS

 

 

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