Am I classed as a first time buyer?

Sid2003

Hi, I know this may have been asked a million times, but I have been named on the deed of a property with 2 other siblings by my parents in Indonesia. 
I am looking to buy a house in the UK with my husband, who is a first time buyer, but I want my name on the deed as well. Would I be classed as a first time buyer?
Thanks

NewShadow

Sid2003 said:

Hi, I know this may have been asked a million times, but I have been named on the deed of a property with 2 other siblings by my parents in Indonesia. 
I am looking to buy a house in the UK with my husband, who is a first time buyer, but I want my name on the deed as well. Would I be classed as a first time buyer?
Thanks

FTB for stamp duty/Government schemes means you've never owned a residential property - or part of a residential property anywhere - you can be an owner/part owner of a commercial property, but not residential property. 

That said - there are some FTB mortgages where it will depend on the criteria of the lender - some lenders may still consider you a FTB, but you'll still have to pay stamp duty even if you get one of these mortgages. 

[Deleted User]

Is this a property you have inherited?  Isn't there a limit value before it counts if its a shared property via inheritance? 

Edit:  got my info from here : https://www.google.com/amp/s/amp.theguardian.com/money/2017/jun/08/higher-stamp-duty-inherited-property-buying-new-build

Less than 50% of a property inherited less than 36 months ago wouldn't count as additional property

NewShadow

Deleted_User said:

Is this a property you have inherited?  Isn't there a limit value before it counts if its a shared property via inheritance? 

Edit:  got my info from here : https://www.google.com/amp/s/amp.theguardian.com/money/2017/jun/08/higher-stamp-duty-inherited-property-buying-new-build

Less than 50% of a property inherited less than 36 months ago wouldn't count as additional property

Apologies if I was mistaken - I didn't see reference to an exception for shared property via inheritance.

I got my info from here: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/759714/Stamp_Duty_Land_Tax_relief_for_first_time_buyers_-_guidance_note.pdf

Chapter 3: Definition of a first time buyer

In order to count as a first time buyer, a purchaser must not, either alone or with others, have previously acquired a major interest in a dwelling or an equivalent interest in land situated anywhere in the world.

This includes previous acquisitions by inheritance or gift, or by a financial institution on behalf of a person under an alternative finance scheme.

And here: http://www.legislation.gov.uk/ukpga/2018/3/part/2/crossheading/stamp-duty-land-tax/enacted 

“First-time buyer”

6(1) In this Schedule “first-time buyer” means an individual who—

(a) has not previously been a purchaser in relation to a land transaction the main subject-matter of which was a major interest in a dwelling,

(b) has not previously acquired an equivalent interest in a dwelling situated in a country or territory outside England, Wales and Northern Ireland,

(c) has not previously been, or been one of the persons who was, “the person” for the purposes of section 71A or 73 in a case where the main subject-matter of the first transaction within the meaning of the section concerned was a major interest in a dwelling, and

(d) would not have been such a person for those purposes in such a case if the provisions mentioned in paragraph (c) had been in force, and had had effect in the country or territory concerned at all material times (subject, where required, to appropriate modifications).

(2) For the purposes of sub-paragraph (1)(b) and (d), ignore a lease which has less than 21 years to run at the beginning of the day after the date on which it is acquired.

...

“Major interest”

8 The main subject-matter of a transaction is not a major interest for the purposes of this Schedule if it is a term of years absolute which has less than 21 years to run at the beginning of the day after the effective date of the transaction.

NewShadow

Ah - I read that article again - but the quote thing is royally annoying me when I try to edit so I've opted for a new post... 

Your article is referring to higher rate stamp duty - stamp duty for buying a second home... 

The OP is asking about the FTB exemption from stamp duty - two different things with different criteria  

Sid2003

That's for all your replies, it is royally confusing and I am angry as it will cost me thousands of pounds for something I didn't want. As I only found out 6 months ago my parents have put me on the deed with my siblings without me knowing. Probably to avoid some type of tax! 
What's the chance of banks finding out I'm named on a deed in Indonesia? 

[Deleted User]

It's not the banks you need to worry about, it's HMRC. Tax evasion is a criminal offence. 

NewShadow

Sid2003 said:

That's for all your replies, it is royally confusing and I am angry as it will cost me thousands of pounds for something I didn't want. As I only found out 6 months ago my parents have put me on the deed with my siblings without me knowing. Probably to avoid some type of tax! 
What's the chance of banks finding out I'm named on a deed in Indonesia? 

Are you sure you're legally on the deeds? 

I have no idea how it works in Indonesia - so you probably want legal advice - but normally someone can't force you to accept a gift. In UK law transfer of ownership of goods/property requires some form of acceptance, express or implied. 

As LoL has stated - if you make a false declaration in the UK then it's a very serious offence and subject to quite harsh penalties.

If HMRC have reason to doubt they can trace an investigation back 20 years - Do you really want a £20k fine and 6 months in jail hanging over your head for the sake of getting it sorted now?