Stamp Duty paid by builder

kellywelly123

Update from Kier Living. As this was an “incentive” they have said we will still get the £11,250 that is noted on the contact as “incentive - stamp duty contribution”. 

Dillon2121

Hi, anyone using St Modwen builder, at present they have declared to our solicitor that they do not intend to make any cash incentive as the contract states they will pay stamp duty to a capped figure accepting it could reduce and that it has now reduced to zero, we have not exchanged contracts yet

MrLogical

Dillon2121 said:

Hi, anyone using St Modwen builder, at present they have declared to our solicitor that they do not intend to make any cash incentive as the contract states they will pay stamp duty to a capped figure accepting it could reduce and that it has now reduced to zero, we have not exchanged contracts yet

Given the contract states what you will get is directly linked to what you will need to pay, I don’t think there is much you can do. I’d continue fighting just to see if they will do something as a gesture of goodwill.

simonrh

We're midway through buying an Ashberry home (Bellway) the paperwork had a £4000 contribution to stamp duty.
We went to see them on Friday in the sales office to sign some paperwork and were told that she'd "just take it off at the end instead".
Turns out our interpretation of "take off" was that we would get a deduction.
Hers was i will just remove the incentive altogether.
We didn't notice until we left so we now have a big drama with them about interpretation as well as the ethics of them having the whole amount as extra profit.

Defangled

Update from Bloor. The reservation form and contract has been updated to reflect the change in incentive - now showing as 'moving costs', which is what lender is comfortable with. 

liamdh1

Update here - following a fair amount of lobbying by various customers we today received confirmation from the CEO of Avant Homes that they are now doing the right thing and honouring the incentive value for agreements related to "stamp duty paid" as a clear company policy.

SDLT_Geek

liamdh1 said:

Update here - following a fair amount of lobbying by various customers we today received confirmation from the CEO of Avant Homes that they are now doing the right thing and honouring the incentive value for agreements related to "stamp duty paid" as a clear company policy.

Thanks for sharing.  I had heard that they had been saying that even with exchanged contracts they would not allow the deduction from the money due completion, so this is good news.

nTierWorld

Anyone had an experience with Catalyst Housing with regards to SDLT holiday?

SDLT_Geek

Nationwide say that where a valuation was carried out before 8 July 2020 they will accept any later restructuring of the financial incentives away from stamp duty to any other type of incentive on the Disclosure of Incentives Form without requiring a new form to be completed.

Finao21

We are buying a property from a local builder, offer made end of May prior to SDLT holiday. Negotiated an incentive for 50% of SDLT. Got to the point of checking contract for sale and incentive was missing despite CML form for mortgage co clearly stating incentive. Raised query. Builders come back and advised "As with other plots this is now being paid by the government rather than ourselves and does not impact financially on yourselves". Raised query again with Solicitor who contacted the builders and said the developer is not prepared to offer the previous incentive for SD as cash incentive and further advised he thought we had been advised directly". Charming. I can't argue the case any more as the buyers of current home have employed an online conveyancer and are taking the p*** so the exchange deadline has been missed. 

FA advised he would have to go back to the mortgage company and let them know the incentive has been removed. Not sure what impact that will have on the mortgage offer. 

Personally I would rather pull out of the purchase and buy something else but husband loves the new house and wants to continue citing we still have 50% of the SDLT money in our pocket. Trying to look at the bigger picture but it doesn't arf leave a bitter taste.