Paying capital gains

Shaz76

I will try and keep it short

I bought my house over two years ago off my partner & his dad (the deeds where in thier names) I got a 45k mortgage in my name only. We had about 20k of the money which went on a family holiday, new kitchen,bathroom etc...
Theres still a lot of work to do on the house before we can sell up & move on so to raise some funds tied up in the house i have suggested that my partner takes out a mortgage in his name only to buy the house of me - hope this isnt to confusing for you;) If he was to do this would the tax man start asking questions ? or is there a simpler way of doing things?
Any help please

Jonbvn

Can't you just remortgage in joint names? If the property is your main residence, then you do not have to pay CGT.

Shaz76

I cant really do anything now, I have just come out of work _pale_

apk1

If your partner takes out a mortgage in his sole name, it will be treated as a sale from you to him, therefore stampduty will be paid. There is no reason presumably why it can't be in joint names though ? you do not have to be working to be named on a mortgage.

Shaz76

so should we apply with my lender or a new lender then?

I did actually by the house off him & his dad in the first place would this make a difference? Will they not ask why he is buying it back?

Shaz76

Im really confused now! Sorry for being stupid:p

To re-mortgage you have to have a mortgage, My partner doesnt have a mortgage, the mortgage is just in my name.

Jonbvn

That your partner is not presently included on your existing mortgage is not important.

apk1

Unless you are tied into your existing lender, there is no need to stay with them go to where ever you get the best deal. As Jonbvn says it is not important that your partner is not currently on the mortgage, you have a mortgage, and are looking to re-mortgage and add him at the same time.

As to you buying the property off of him in the first place, that irrelevant, that's history, any lender is only looking at the current situation.