1. buy a wreck
2. refurbish it
3. live in it
4. sell it
That’s it. Properties that you use as your own home are free from all capital gains tax.
So if you want to make a living tax free then you simply have to add value to a property. You can’t just buy a property, live in it and then sell it and expect to make a profit. You have to add value.
Typical ways of adding value to a property are:
1. Redecorating all the rooms in neutral colours
2. Installing a new bathroom or kitchen
3. Adding an extra bedroom or bathroom
4. Loft conversions
5. Adding gas central heating or double glazing windows
Simple isn’t it? Read about these guys who used the formula above to cash in to the tune of £4m!
Posted on: 26th Feb 2008