1739 Property question

HI , We are just about to complete on a development in Montebello, Abruzzo.
The land ( approx 4.5 hectares) has two properties, one very habitable and the other requiring restoration. We plan to sell the the restoration as sonn as we restore it. Can any one advise as too how this would affect capital gains. We still have to decide on the declared price for each property

Ta
Fraser

Category
Property Sales/Rental Advice

Submitted by Anonymous (not verified) on Mon, 10/31/2005 - 09:38

fraser...basically you do not decide the declared value.... it has a catastal value.... so if you are planning to up the value of the derelict property to offset capital gains it might be difficult to justify.....

developments of older properties are something that there is not an awful lot of money to be made out of here...with virtually no inflationary aspect to prices...the costs of a major restoration will hardly produce much more than break even.... so i would be careful ....

if there are two of you buying ....might be possable to buy each property seperate at the outset as prima case..... but i think you would be best seeking proffesional advice if the sale of the second property is part of your long term plans as a sort of financial security aspect to live here.... ie make sure you have the best advice before commiting if this is going to be the way you plan to fund part of your life here....because i dont think there is much value to be had out of it...

Submitted by Anonymous (not verified) on Thu, 11/03/2005 - 05:29

[QUOTE=adriatica]fraser...basically you do not decide the declared value.... it has a catastal value.... so if you are planning to up the value of the derelict property to offset capital gains it might be difficult to justify.....

developments of older properties are something that there is not an awful lot of money to be made out of here...with virtually no inflationary aspect to prices...the costs of a major restoration will hardly produce much more than break even.... so i would be careful ....

if there are two of you buying ....might be possable to buy each property seperate at the outset as prima case..... but i think you would be best seeking proffesional advice if the sale of the second property is part of your long term plans as a sort of financial security aspect to live here.... ie make sure you have the best advice before commiting if this is going to be the way you plan to fund part of your life here....because i dont think there is much value to be had out of it...[/QUOTE]
Thanks John , yeah there are two of us and each is registered individually ( also helps with reduction of purchase tax) Not sure of our intentions yet. i.e. sell with some restoration, sell with full restoration, or rent. will need to check out things once we are over.