# Getting married but two properties



## aristotle (6 Jan 2016)

Hi,

I will be getting married later in the year and currently I own a property which is my primary residence and my to be wife also owns a property which is her primary residence.

When we get married we will live in her property. I will rent out my own.

So I assume I will have to cancel TRS with the revenue and register the rental etc with the PRTB. Will I have to pay NPPR tax as well? I wont be on the deeds or mortgage on my to be wifes property or does marriage mean we both have two properties?

Thanks


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## mf1 (6 Jan 2016)

"Will I have to pay NPPR tax as well?"

NPPR no longer exists - it is LPT now. 

And no, neither of you will have two properties. You will each have your own and marriage gives you both certain entitlements to the other's assets. 

mf


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## Ravima (6 Jan 2016)

You might be better financially cancelling the TRS as on a rented property you can offset 80% of the interest paid.


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## cremeegg (6 Jan 2016)

Ravima said:


> You might be better financially cancelling the TRS as on a rented property you can offset 80% of the interest paid.



You *MUST* cancel the TRS on the rented property, Ms Revenue will be very cross if you don't.

You can offset *75%* of the interest paid on a loan to acquire a rental property.


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## Bronte (7 Jan 2016)

One really ought to run the figures on this to decide if it makes sense to keep a second property.


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## aristotle (7 Jan 2016)

I agree, I probably will sell up in 2-3 years time when hopefully the house will be worth what I paid for it in 2005! 
But I have super low tracker rate of just .5% over ECB on that property and if I can keep that and rent it I will keep the property longer. Of course if Danske Bank find out I am in trouble as they will change my mortgage rate to an investment rate.


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## Purple (7 Jan 2016)

aristotle said:


> I agree, I probably will sell up in 2-3 years time when hopefully the house will be worth what I paid for it in 2005!
> But I have super low tracker rate of just .5% over ECB on that property and if I can keep that and rent it I will keep the property longer. Of course if Danske Bank find out I am in trouble as they will change my mortgage rate to an investment rate.


Not necessarily. What does your mortgage say?


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## aristotle (7 Jan 2016)

Mortage t&c's does say it will move to an investment rate if rented out and no longer primary residence.


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## Bronte (8 Jan 2016)

aristotle said:


> Mortage t&c's does say it will move to an investment rate if rented out and no longer primary residence.



Then you never ever tell them it's rented.  As it's such a low rate it is a great investment as you will be paying mostly capital.  Keep your rental income transactions in a different bank account.  Stop TRS with revenue directly.  And it's none of the banks business why you no longer get TRS.  Be careful with life and house insurance that the companies are not linked to the bank.  You need to inform the house insurance company when it is rented.  Very important.


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## aristotle (8 Jan 2016)

Yeah and I intend to do all that. Only problem is Danske are noted as an interested party on insurance and they also request insurance cert every year from me. The house insurance cert will note its rented and not a primary residence so they will find out.

I assume its illegal to have two insurance policies on one house? One for rented accommodation and one for primary residence and Danske could receive the latter?


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