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What will be classed as 2nd property?

bt1
bt1 Posts: 443 Forumite
Eighth Anniversary Combo Breaker
in House buying, renting & selling
Hi,


We are currently in the process of buying a new build, we have exchange contracts, but the house has been delayed and we are due to complete in Dec/Jan.


We are in the position to buy a 2nd property on buy to let. We have found a property we want and want to make an offer. But we aren't sure how the stamp duty will be dealt with if the purchase on the buy to let completes before the completion of our home!


We obviously don't want to be stung with higher stamp duty on our house! :)


Thanks in advance!

Comments

  • Bluebirdman_of_Alcathays
    Bluebirdman_of_Alcathays Posts: 2,859 Forumite
    Whichever house completes 1st, will have normal SDLT. Whichever is second, will have additional 3% SDLT (assuming it costs over 40k!)
  • marksoton
    marksoton Posts: 17,516 Forumite
    bt1 wrote: »
    Hi,


    We are currently in the process of buying a new build, we have exchange contracts, but the house has been delayed and we are due to complete in Dec/Jan.


    We are in the position to buy a 2nd property on buy to let. We have found a property we want and want to make an offer. But we aren't sure how the stamp duty will be dealt with if the purchase on the buy to let completes before the completion of our home!


    We obviously don't want to be stung with higher stamp duty on our house! :)


    Thanks in advance!

    Then you best hold back getting a BTL.
  • Conrad
    Conrad Posts: 33,137 Forumite
    10,000 Posts Combo Breaker
    Takes about 4 months to buy anything these days (I've bought and sold a lot in my time) so if possible string-out the B2L, but be aware the resi purchase could take far longer than you think - nothing is ever guaranteed in property
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
    10,000 Posts Fifth Anniversary Name Dropper Photogenic
    bt1 wrote: »
    Hi,


    We are currently in the process of buying a new build, we have exchange contracts, but the house has been delayed and we are due to complete in Dec/Jan.


    We are in the position to buy a 2nd property on buy to let. We have found a property we want and want to make an offer. But we aren't sure how the stamp duty will be dealt with if the purchase on the buy to let completes before the completion of our home!

    We obviously don't want to be stung with higher stamp duty on our house! :)


    Thanks in advance!

    I'm sure you are, you are just hoping there is a loophole :D

    It will be the second of those two to be bought that will get the extra tax.
    It couldn't work any other way unless a time machine was/is/would be/has been involved.
  • bt1
    bt1 Posts: 443 Forumite
    Eighth Anniversary Combo Breaker
    Thanks all,


    We will have to try and delay the purchase then :)
  • Pixie5740
    Pixie5740 Posts: 14,515 Forumite
    10,000 Posts Eighth Anniversary Name Dropper Photogenic
    Are you selling a house (current main residence) in order to buy the new build?
  • bt1
    bt1 Posts: 443 Forumite
    Eighth Anniversary Combo Breaker
    Pixie5740 wrote: »
    Are you selling a house (current main residence) in order to buy the new build?

    Hi,


    No, we sold our flat in January and are renting at the moment.
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