DOWNSIZING: A new home for a new stage of life
22nd March 2018
More and more Australians are seeing the benefits of selling the family home in favour of downsizing to a smaller house, or even an apartment. To facilitate this, the Australian Government are offering generous financial incentives for those who are ready to downsize.
Reducing Barriers to Downsizing
From July 1 2018, individuals aged 65 and over who meet eligibility requirements can make a downsizing contribution of up to $300,000 each from the proceeds of selling their home, into their superannuation. Each member of a couple can contribute $300,000 (limited by the sale price), even if one spouse’s name is not on the title, so long as the other eligibility criteria are met.
Am I eligible?
Eligibility is determined by a number of factors, not limited to:
- You are 65 years old or over at the time you make a downsizer contribution (there is no maximum age limit).
- The amount you are contributing is from the proceeds of selling your home where the contract of sale was exchanged on or after 1 July 2018.
- Your home was owned by you or your spouse for 10 years or more prior to sale.
More information can be found here