If I sell my house...

[little bean]

I was just wondering if anybody could give me some advice about this situation -

I'm living in a house that I own but I'd like to sell it to move closer to my parents for support(and either rent or buy up there).

My house has gone up in value - so would this be counted as income, causing me to lose my SPP and also lower the amount of CS next financial year?

[lovingmotheract]

talk to centrelink about it i don't think it would but just to be safe i would talk to them.

[sam's mum]

the capital gain on your house would not be counted as income for centrelink. It will be income on your income tax return though, and this may effect your child support.

I agree that you should contact Centrelink and double check.

[mummyrissa]

i know this is totally different but when my grandma sold her house and then brought a new one (even though the new house cost more) it affected her pension payments. she didnt know she even had to tell centrelink but they called her pretty quickly.

so id definalty call centrelink and have all the information you can to explain your situation, write the persons name down that u spoke to and get a record number for your call, as often answers are different depending on who u speak to.

[Issey]

that would be bad if they did count it considering if you buy another place you have stamp duty and so forth.

I am not in the exact same circumstance but I bought my 'own' house again this year as paid out Ex to keep it. I had to explain to centrelink only about my super which I drew down to help payout my ex, they didn't care anything about me buying my house or where I got the money from to do it.

let us know what you find out, best to phone them up.

[meme]

if you sell your house and then reinvest that money into another house that is your primary residence it will be exempt frombeing judged as an asset and so shouldn't affect your spp.( at least usually i think if you have a large block then they look at reducing by percentage how much is counted as assets or something)

but if you have a large amount of money left in the bank or invested after the sale and purchase of the new house that will be looked at as assets and could affect your payments.

if you do not reinvest in a primary residence the money fromt he sale of the house will be seen as assets and affect your payments.

i think there is a certain time limit you have for reinvesting in a new house, before they reassess whether the money is an asset or not?

talk to centrelink, better than a big debt or to not know where you stand.

[purplebutterfly]

No it's not. Make sure you tell Centrelink exactly what is going on though. You are allowed to have a certain amount in assets, they will ask you what you are going to do with the money, if you decide to put it in a term deposit or something like that you will need to tell them about the interest you are getting from the investment as that is income.