We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
The MSE Forum Team would like to wish you all a Merry Christmas. However, we know this time of year can be difficult for some. If you're struggling during the festive period, here's a list of organisations that might be able to help
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Has MSE helped you to save or reclaim money this year? Share your 2025 MoneySaving success stories!
Stamp duty question for adjacent properties
Comments
-
legislation for what? SDLT or planning?You can get very helpful advice on this forum. But bear in mind that the legislation you are asking about was only finalised a few months ago, with many amendments before Royal Assent. Your question relates to an unusual situation, and it is unlikely that anyone here can give you definitive advice.0 -
Thanks again for comments. Really valuable point on planning approval - and I appreciate that's not a foregone conclusion.
This building contains a handful of flats, of which I own one. Thankfully I own a share of the freehold and would be acquiring the other party's proportionate share. I don't expect the other freeholders will have an issue but clearly majority consent would be required too.
I wouldn't be so sure.
If I were another leaseholder with share of the freehold, I'd be thinking this is a ton of disruptive building work, involves you making holes in the floor to put stairs in between your flats which has to be some sort of structural risk, could even cause issues 30 years in the future that the leaseholders end up paying to resolve, potentially devalues my leasehold as it's now a small flat in the block compared to the large double - which also changes the character of likely occupants, it's probably going to be larger families now - it also means that in the future maintenance that was divided by 6 flats is now potentially divided by 5. As the freeholder, there are only 5 people paying lease renewal fees etc now.
It's a can of worms I would not want opening, so would very firmly vote against. I don't know how the legislation works, but you may well need unanimous consent.0 -
Which aspect of it do you think is unusual in the context of the legislation? The answers seem quite clear to me (and have already been answered accurately).You can get very helpful advice on this forum. But bear in mind that the legislation you are asking about was only finalised a few months ago, with many amendments before Royal Assent. Your question relates to an unusual situation, and it is unlikely that anyone here can give you definitive advice.0 -
Which aspect of it do you think is unusual in the context of the legislation? The answers seem quite clear to me (and have already been answered accurately).
This proposed transaction, of buying a second property and incorporating it into the family home - you don't think that's unusual?
The legislation includes relief for granny annexes, which was worded in a way that could apply to this situation, had both properties been bought at the same time. That may not have been the government's intention, and it just shows that a detailed study of the legislation is required.No reliance should be placed on the above! Absolutely none, do you hear?0 -
But they're not being bought at the same time.This proposed transaction, of buying a second property and incorporating it into the family home - you don't think that's unusual?
The legislation includes relief for granny annexes, which was worded in a way that could apply to this situation, had both properties been bought at the same time.
SDLT is based on the situation at the time of the transaction, not what your intentions are afterwards e.g. the distinction between dwellings and other properties depend on what they already are, not what use you're planning to make of them.0 -
But they're not being bought at the same time.
SDLT is based on the situation at the time of the transaction, not what your intentions are afterwards e.g. the distinction between dwellings and other properties depend on what they already are, not what use you're planning to make of them.
All correct AFAIK, but still not a definitive answer. Unless you have a good understanding of the detail of the legislation, you can't say for certain whether or not there is something in there that helps the OP.
My point about the granny annexe was that this is something most people would be unaware of.No reliance should be placed on the above! Absolutely none, do you hear?0 -
What, in your view, would make it a definitive answer? Many of us here have quite a good understanding of the detail of the legislation (because it's our day job!).All correct AFAIK, but still not a definitive answer. Unless you have a good understanding of the detail of the legislation, you can't say for certain whether or not there is something in there that helps the OP.0 -
What, in your view, would make it a definitive answer? Many of us here have quite a good understanding of the detail of the legislation (because it's our day job!).
It's hard to distinguish experts from pseudo experts on this website, unfortunately. The views tend to be put forward with equal apparent certainty. I'm sorry if I have misapprehended your degree of expertise.
If you are tax counsel with a special interest in SDLT, then that's as good as it gets. So, when you say it's your day job .....?No reliance should be placed on the above! Absolutely none, do you hear?0 -
well speaking as one of your alleged "pseudo experts" poppyc...It's hard to distinguish experts from pseudo experts on this website, unfortunately. The views tend to be put forward with equal apparent certainty.
the legislation is very clear, the guide was updated after it (Nov 2016) and OP's three scenarios cannot possibly be conflated with a "granny annex"
OP owns one flat in a block of "a handful of others". The fact the one below is owned by a relative does not make it into anything other than a self contained flat in a block of flats.
OP's three scenarios are therefore all the same: he owns an existing flat, he wishes to buy another flat (we assume whose lease still has more than 7 years left!), the higher rate therefore applies irrespective of what he subsequently does with them....
"2.5 For the purposes of the higher rates a dwelling is defined as a building or part of a building that is –
● used or suitable for use as a single dwelling" (he is buying a self contained flat)
2.7 “Dwelling” takes its everyday meaning; that is a building, or a part of a building that affords those who use it the facilities required for day-to-day private domestic existence. In most cases there should be little difficulty in deciding whether or not particular premises are a dwelling." (he is buying a dwelling)
you are perhaps confusing yourself over "annexes"? OP is making a purchase of a whole dwelling. He is not buying a dwelling comprising a principal and a subsidiary part. He is buying one discrete self contained dwelling in an existing block wherein he already owns another dwelling. The (post legislation) guide sets out the rules on part dwelling purchase, it concerns only the situation where you buy a principal and subsidiary at the same time. Patently inapplicable to OP as he already owns a flat. Surely you can see he is not buying a part of a dwelling, he is buying the whole of a single dwelling in a block where there are more than just his relative living in other dwellings - read section 2.100
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.9K Banking & Borrowing
- 253.9K Reduce Debt & Boost Income
- 454.7K Spending & Discounts
- 246K Work, Benefits & Business
- 602.1K Mortgages, Homes & Bills
- 177.8K Life & Family
- 259.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards