Stamp Duty on joint property purchase

velocityv · 8 June 2016 at 10:34PM

Hi guys, would really appreciate some advice on stamp duty rates for a joint purchase, as the gov.uk site really isn't clear for our situation.

I own 1 house which is being sold for £140,000. I currently live here with my partner (we are not married) and have done for almost a year.

My partner has a buy to let rental house in her name which she intends to keep when we move from my house to our new joint house.

We are purchasing a house for £270,000 together.

Will we have to pay the standard stamp duty rate as we are replacing our main residence (despite my partners name not being on the deeds, although she is registered to vote here, gets bills here etc) - or will we have to pay the higher rate (as my partner doesn't have a share of our current main residence)?

To me it seems like as the house we are selling is clearly our joint main residence and we are purchasing a new main residence we wouldnt have to pay this, but I wanted to get some advice as I have read mixed opinions on Zoopla etc.

Thanks.

booksurr · 8 June 2016 at 10:52PM

read the guide:
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/509184/GuidanceNote_Final.pdf

3.42 covers you " Where a transaction is entered into by joint purchasers the higher rates will apply if the transaction would be a higher rate transaction for any of the purchasers considered individually. "

either you buy in your name only (if you can get a mortgage in sole name of course) or pay the extra rate. She would be going from owning 1 to owning 2 properties, so as a pair of co-owners you must pay the additional rate if her name is involved.

your thoughts on what constitutes a main residence for her, and how she is thus replacing something she does not own or have a legal interest in, is not worth further consideration