Rent or Sell newly built House on side plot

[S Hanlon]

I am presently building a house on my side garden, I plan on selling my existing house and moving.
Am I better off selling the new build also?
I know I will have to pay capital gains.
If I rent it will i pay full tax on the rent as there is no Mortgage
to offset against.
Please advise.

Regards Stephen.

 

[cerberos]

if you sell home and site together so instead of you house being sold for 500k, its sold for 650k (150k for site) then no tax as PPP

correct me if i'm wrong, some 1

c

 

[Madilla]

But also if you sell the old house there is no CGT payable as it is your PPR.You can then sell the new house down the line and if it is your new PPR you again have no liability to CGT.If you sell both now you will be liable for CGT on the new house.If you rent the income less allowable expenses will be fully taxable and as you have no mortgage no allowance will be available for interest relief so your expenses are likely to be very low.