Buying before selling Scotland

Prudent

I am looking for a some advice on purchasing a house in Scotland. I am considering a house move. I would like to live nearer a bus stop as I am unable to drive due to an illness.

My illness means that the process of buying and selling at the same time is likely to be exhausting for me and may exacerbate my illness. I am therefore considering buying a property before putting my existing house on the market. The house I buy will become my main residence. Once I have moved in I will put my existing home on the market.

I know that second properties attract a higher rate of tax, but when I read up on this the charge seemed to apply to second homes or buy to let. Does anyone know what the tax position would be in Scotland if I purchased before selling?

Nebulous2

You would have to pay the extra stamp duty for a second home, but could claim it back if you sold within 18 months.

Do you have the money to buy a second house outright?

davidmcn

Is there anything in particular which you're going to find exhausting? No matter how you do it, you will have to move house at some point. If it's avoiding having to do everything on the same day, you could accept an offer with a relatively long date of entry, and buy something else in the meantime with a shorter date of entry and therefore a known overlap - that's probably less stressful then buying before you know when you'll get an offer for the first house.

If you want to separate the transactions completely, then as discussed above you can reclaim the Additional Dwelling Supplement provided you sell within 18 months - this is scenario 2.05 in Revenue Scotland's FAQ.

Prudent

Thank you that is really helpful. 18 months is a good time frame. One of the big stressors for me would be the viewings. I have quite a significant but fluctuating health condition. I don't have to want to be under pressure to tidy and clean at a short notice for a viewing or indeed just have to be up and out for a viewing. It would be easier for me to have the house empty, with some ongoing cleaning and gardening, and allow the estate agent to do the viewings whenever they wanted. I moved this way the last time and it reduced the stress considerably. I could do things like put everything into kitchen cupboards/ fitted wardrobes etc and get some decorating done before the day of the move. I am only planning to move within a mile of my existing house.

I do have the money available to move in this way. My partner moved in with me several years ago and we sold his house and that money plus savings will be enough. Both of us had paid off our mortgages.