SDLT on new purchase / transferring title

neilhardy_2

Hi All

Heres the situation.

I own my home my wife who lives in it with me is not on the deeds.
She has a home from before we were married.
We are selling my home that we live in now and buying a home in both our names that we both will live in, so its my only sole residence but my wife has another home which isnt her sole residence.

My Question:

Are we subject to higher rate SDLT ?

If I buy our new home in my name only (bearing in mind this will be my only property) I assume we (I) will pay the lower rate SDLT ?

Many Thanks

SDLT_Geek

You will not be liable to the higher rates of SDLT if both you and your wife have lived in your property as your only or main residence and provided you both intend to live in the new property as your only or main residence. It does not matter that your wife has another property, nor that she has no share in the ownership of the property where you both live.


It makes no difference whether the new property is bought by you alone or jointly for the purposes of the higher rates of stamp duty land tax.


It is crucial though that you are married.

00ec25

just to add some further context to the geek's post - a married couple are deemed to have one main residence between them, the one they live in. Whether both, or only one, owns that property is irrelevant.

When they come to buy a new marital home, and sell their old marital home, the "replacement" rule applies as they have replaced one home with another, and therefore the higher rate SDLT does not apply as, overall, they have not increased the number of properties they own as a couple (it's still 2), and the one they replaced was their actual home.

neilhardy_2

Great Thankyou so much....

neilhardy_2

Thanks friends - just so I know I have it right....
************************************************
My wife had her old home owned by her before I met her - she still has it - ( I never lived there).
We then got married and had one marital home (owned solely by me) where we lived and we are married - we then sold it and are now buying another marital home where we will both live as man and wife.

Ive never had 2 houses - but me wife still has the house she had before she met me.

Are we still OK ? This board is the best thing since sliced bread.

SDLT_Geek

You are still OK so long as your wife lived in your property with enough of a degree of permanence and expectation of continuity for it to count as her "residence".

saajan_12

neilhardy wrote: »

Thanks friends - just so I know I have it right....
************************************************
My wife had her old home owned by her before I met her - she still has it - ( I never lived there).
We then got married and had one marital home (owned solely by me) where we lived and we are married - we then sold it and are now buying another marital home where we will both live as man and wife.

Ive never had 2 houses - but me wife still has the house she had before she met me.

Are we still OK ? This board is the best thing since sliced bread.

As a married couple, the unit owns 2 properties, the name on deeds becomes irrelevant. You both are deemed to live in one main residence. As you both as a unit are replacing THAT main residence, no higher rate SDLT due.

For others reading this, note the being married is crucial. Else she would have no stake in his house, so wouldn't be 'replacing' ie selling her main residence.

neilhardy_2

The solicitor said as we had moved temporarily into a holiday let for a few weeks as the new house isnt ready it counted as the higher rate, I had to ring HMRC who said the fact you moved temp int a holiday let is irrellevant !!! and record the call and send it to her (the solicitor) !!!! Does anyone think I should be dumping her off ??