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Stamp Duty Calculator and Q&A discussion

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Comments

  • emilycase
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    Hi, 

    myself and my partner are buying his late grandfathers property. It’s currently in the process of being passed to his mother and uncle in probate. 

    We will be buying the house under value. (House approx 520, we will pay 260 with the other half ‘gifted’ - so just myself and my partner on the mortgage) 

    what amount of the property do we have to pay stamp duty on? This will be after April 1st. Thanks! 
  • SDLT_Geek
    SDLT_Geek Posts: 2,532 Forumite
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    It it might depend on the type of mortgage you get.  A “gifted deposit” type might insist that it is documented as being at full value.  
    Other mortgages will allow the actual concessionary price to be shown, in which case the SDLT will be on the lower figure.
    These issues are considered here: https://www.blakemorgan.co.uk/bank-of-mum-and-dad-concessionary-purchases/
  • I own a property that I have had tenants in for over 2 years (I have a 'consent to let' on that property). I am currently living with parents whilst I buy a property for me to live in. Will I pay stamp duty on the 2nd property? Is it 3% on the value of the property over £40k? The house I am buying is £110k. Thank you.
  • SDLT_Geek
    SDLT_Geek Posts: 2,532 Forumite
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    I would expect the SDLT to be 3% of £110,000.  You do not get the first £40,000 free.  It is a threshold, not a nil rate band.
  • dwtmahdc
    dwtmahdc Posts: 68 Forumite
    First Anniversary First Post Combo Breaker I've been Money Tipped!
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    Hey! 
    I'm selling my flat and buying a house in joint names with my partner. She's still got her house (main residence) but wouldn't sell until a few months after the new purchase completed. 
    Would she be eligible for a rebate on any SDLT as long as completed on the sale within a certain timeframe? #
    TIA
  • SDLT_Geek
    SDLT_Geek Posts: 2,532 Forumite
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    edited 24 March 2021 at 7:16PM
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    It should be fine so long as your partner has lived in her house as her only or main residence within the last three years.  She has been living there, not in your flat?  She has three years from the joint purchase to complete a sale of her house if the 3% extra is to be recoverable.
  • howy686
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    I inherited a 3-bed semi from my parents in 2018. I decided to rent it through an agent rather than sell - our tenants have been paying rent to me via an agent for nearly 2 years now.
    However, I also have my own home, where I've lived for 40 years 
    My question  is, if I sell my own home & move to another property, will that attract the so-called landlord tax ? 
  • Slithery
    Slithery Posts: 6,046 Forumite
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    howy686 said:
    I inherited a 3-bed semi from my parents in 2018. I decided to rent it through an agent rather than sell - our tenants have been paying rent to me via an agent for nearly 2 years now.
    However, I also have my own home, where I've lived for 40 years 
    My question  is, if I sell my own home & move to another property, will that attract the so-called landlord tax ? 
    There's no such thing as 'landlord tax', it's a tax for additional properties...
    If you are selling your main residence and purchasing another one to replace it then no, the additional tax won't be due.
  • SDLT_Geek
    SDLT_Geek Posts: 2,532 Forumite
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    Slithery said:
    howy686 said:
    I inherited a 3-bed semi from my parents in 2018. I decided to rent it through an agent rather than sell - our tenants have been paying rent to me via an agent for nearly 2 years now.
    However, I also have my own home, where I've lived for 40 years 
    My question  is, if I sell my own home & move to another property, will that attract the so-called landlord tax ? 
    There's no such thing as 'landlord tax', it's a tax for additional properties...
    If you are selling your main residence and purchasing another one to replace it then no, the additional tax won't be due.
    Assuming the new home being bought is in England, then the tax in point is stamp duty land tax.  It sounds as if the "replacement exception" will apply, so the extra 3% SDLT will not be due, just the regular SDLT.
  • howy686
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    Yes - we would be selling our main residence & purchasing another one....but we also own another house which was inherited and have rented to tenants since 2019. So we wandered if this would 'hike-up' the rate of stamp duty we would pay on the purchase of our new main residence.
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