Introduction to Real Estate Gifts Between Close Relations
Legal Definitions of "Close Relation"
Transfer Between Brothers and Sisters
Transfer Between Spouses
Considerations for the Transferor
Purchase Tax Optimization:
When a property owner wishes to acquire a new apartment, they can transfer the current property to a close relation to benefit from reduced purchase tax, thus avoiding the higher rates applied to the purchase of an additional apartment.
This can be done before or after purchasing the new property, with commitment to sell the first apartment within legal deadlines.
Capital Gains Tax Exemption:
To benefit from capital gains tax exemption when selling a property, the transferor can transfer an apartment to a close relation before selling the other.
