First time buyer stamp duty

SineadH

Hi there,
Looking for some advice as me and my boyfriend are looking to buy a house soon. I'm a first time buyer, however he already owns a house which he would likely rent out when we move in together. Is there any way to avoid paying the extra stamp duty for a second home? Say if we were both on the mortgage but the property was solely in my name? I graduated last year and work for the NHS so my salary alone is nowhere near enough for a mortgage. Or if I took out a mortgage on my own would they consider money contributed from him as income if he started paying it regularly for a while into my bank account which I could show? Sorry if this sounds stupid! I wish they taught us about buying houses at school!

Slithery

Afraid not, the only way to avoid the 2nd home excess would be for him to sell his current property first.

[Deleted User]

SineadH said:

Hi there,
Looking for some advice as me and my boyfriend are looking to buy a house soon. I'm a first time buyer, however he already owns a house which he would likely rent out when we move in together. Is there any way to avoid paying the extra stamp duty for a second home? Say if we were both on the mortgage but the property was solely in my name? I graduated last year and work for the NHS so my salary alone is nowhere near enough for a mortgage. Or if I took out a mortgage on my own would they consider money contributed from him as income if he started paying it regularly for a while into my bank account which I could show? Sorry if this sounds stupid! I wish they taught us about buying houses at school!

SDLT is based on beneficial ownership not legal ownership so it wouldn't matter if you managed to get a mortgage in joint names with you as the sole legal owner the higher rate of SDLT would still apply as clearly him being party to the mortgage and living in the property makes him a beneficial owner.  The only way to avoid the higher rate of SDLT completely is for him to sell his property before jointly buying with you.  If his house is currently his main residence then he has 3 years from jointly buying with you to sell the house and reclaim the additional SDLT paid but you'll still need to pay it at the time of the joint purchase.