Norway/Buying a house
We have a house today for our living and that is with loan. We managed to save some money and would like to invest for a reasonable returns. Have a thought to buy a second house (apartment) with 85% loan in this downtrend market with the plan to renting it. on the other hand, I am worried due to the market if this plan could be worthy or be a risk. I would like to know the implications from the government in terms of second house.
1. The rental income is taxable. What percentage?
2. Is the wealth tax much higher for the second house?
3. What expenses can we claim for tax deduction in the income?
4. Will it make any difference to buy a house under construction in terms of taxation?
5. Any other important point to consider?
Thanks for your time on this.
1) Income from letting out a house is calculated together with your normal income. About 28% for the net profits.
2) No, it is the same fore everything you own
3) All normal upkeep of the building is deductable on your income statement. But no upgrades.
5) If you buy a house, then live there for a year, you can sell it and the profit will be tax free. If you sell it without living in it, you will have to pay tax on any profit.